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Historical Note About the Cover
The Labor Building is located on West Edenton Street across from the State Capitol. It was designed in
1885 by architect Gustavus Adolphus Bauer. Bauer also assisted in the design of the Executive Mansion,
which is why the two buildings share similar architectural design features. The building was dedicated on
March 5, 1888, and for the first 25 years housed the Supreme Court and State Library. The red brick build-ing,
once painted gray to blend in with the stone buildings around it, was stripped of the paint in the 1980s
to reveal the true rich color of the original red brick, which was made by prison labor.
The rendering of the building featured on the cover is from a watercolor created by Earle Kluttz Thompson,
an artist from Salisbury. Thompson studied studio art at the University of North Carolina. While a student
at UNC, she interned with muralist Michael Brown, where she learned faux techniques and how to paint
outdoor and indoor murals. Thompson later studied at Lorenzo de Medici in Florence, Italy. She and her
husband live in Raleigh. She and Raines Thompson are partners in Kluttz Thompson Designs.
On Sept. 11, 2001, Labor Commissioner Cherie Berry directed that the American flag be flown over the
Labor Building. When advised that the building had no flagpole, she ordered the immediate printing of
flags to be displayed in every window of the Labor Building. Within days every window of all NCDOL
buildings across the state displayed an American flag. Fittingly, the very first flag was placed in the win-dow
of Commissioner Berry’s office.
Printed 3/12, 80 copies
2011 Annual Report
Contents
Foreword . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . iv
Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Standards and Inspections Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Apprenticeship and Training Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Boiler Safety Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Elevator and Amusement Device Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Employment Discrimination Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11
Mine and Quarry Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12
Wage and Hour Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13
Occupational Safety and Health Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17
Agricultural Safety and Health Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .18
Compliance Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19
Consultative Services Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22
Education, Training and Technical Assistance Bureau . . . . . . . . . . . . . . . . . . . .23
Planning, Statistics and Information Management Bureau . . . . . . . . . . . . . . . . .25
Administration Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28
Budget and Management Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .29
Communications Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .30
Governmental Affairs Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .31
Human Resources Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .33
Information Technology Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .34
Legal Affairs Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35
Research and Policy Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39
iii
N.C. Department of Labor 2011 Annual Report
iv
Foreword
I wish to acknowledge the cooperation of all the fine employees of the various
divisions of the Department of Labor who made possible the many accomplish-ments
and services to the people of North Carolina that are recorded in this report.
The dedication shown by these employees helps make North Carolina a safe and
healthy place to work and live.
Cherie Berry
Commissioner of Labor
Foreword
N.C. Department of Labor
Overview
The N.C. Department of Labor, under Labor Commissioner Cherie Berry,
is charged by law with the responsibility of promoting the health, safety and
general well-being of working North Carolinians. The General Statutes
provide the labor commissioner with broad regulatory and enforcement
powers to achieve that objective.
The labor commissioner is the constitutional officer elected by the people
of North Carolina to a four-year term running concurrently with the gover-nor’s.
Foremost among her duties are the administration and enforcement
of the occupational safety and health standards and working conditions in
industry; wage and hour issues pertaining to maximum work hours and
minimum wage laws; training of apprentices in the skilled trades; educa-tion,
training and consultation on safe and healthy working conditions; and
the administration of inspections for boilers, elevators, amusement rides,
and mines and quarries.
The N.C. Department of Labor’s mission is to foster a safe, healthy, fair and
productive North Carolina by:
• Providing responsive, effective and efficient services
• Providing and encouraging quality education and training
• Administering consistently and fairly our regulatory mandates
• Enhancing public confidence in the Department of Labor
According to state law, the Department of Labor promotes the health, safety and general well-being of
4 million workers at more than 250,000 places of business. The laws and programs the department admin-isters
affect every worker—and virtually every person—in the state.
Department of Labor history dates back to 1887, when the General Assembly created the Bureau of Labor
Statistics. In a reorganization of labor functions in 1931, the General Assembly laid the groundwork for the
department’s transformation into an agency with laws and programs affecting most state citizens.
Departmental divisions and bureaus carry out its principal regulatory, enforcement and informational
programs.
The N.C. Occupational Safety and Health Review Commission operates independently from the depart-ment.
The Review Commission, whose members are appointed by the governor, hears appeals of citations
and penalties imposed by the Occupational Safety and Health Division.
The Department of Labor serves the workplace. Its programs, as well as the information it makes avail-able,
help industry managers, small business owners, and all those who work in North Carolina perform
their work safely.
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N.C. Department of Labor 2011 Annual Report
Labor Commissioner Cherie Berry
Apprenticeship and Training Bureau
The Apprenticeship and Training Bureau promotes and monitors a broad range of apprenticeship programs
that train journeyworker level employees to meet the demand for high-skilled workers. In 2011, more than
7,700 North Carolinians were served in these industry-supported programs. Apprenticeship programs are
sponsored through employers or under joint labor-management committees.
The bureau is also the State Approving Agency for veterans in apprenticeship and on-the-job training
programs. Qualified veterans can receive their GI Bill benefits while they are in training.
Boiler Safety Bureau
The Boiler Safety Bureau enforces the Uniform Boiler and Pressure Vessel Act of North Carolina. The
bureau regulates the construction, installation, repair, alteration, inspection, use and operation of pressure
equipment that falls under the law. The bureau conducts periodic inspections of this pressure equipment
and monitors inspection reports. The bureau maintains records on ownership, location and condition of
working boilers and pressure vessels. It also issues certificates of inspection to boiler and pressure vessel
owners and operators who meet requirements.
Elevator and Amusement Device Bureau
The Elevator and Amusement Device Bureau oversees, except in federal buildings, the installation and safe
operation of elevators, escalators, workman’s hoists, dumbwaiters, moving walks, aerial passenger
tramways, amusement rides, incline railways and lifting devices for people with disabilities. The bureau
also approves plans and applications for equipment that falls under its jurisdiction.
The bureau conducts regular periodic inspections of all ride-operating equipment in the state and provides
technical assistance. The bureau also will review, for architects and builders, plans for proposed elevators
and related equipment.
Employment Discrimination Bureau
The Retaliatory Employment Discrimination Act protects employees who in good faith file or initiate an
inquiry about workers’ compensation claims, an occupational safety and health complaint, or exercise their
rights under certain other state laws. Investigators examine the complaints filed and, if the complaint is
found without merit, issue a right-to-sue letter. If the complaint is found to be valid, the bureau attempts con-ciliation
through informal means before issuing a right-to-sue letter.
Library
The NCDOL Library offers about 12,800 volumes, including 1,400 audiovisual items along with other
electronic resources. The library’s collection includes resources on the various topics regulated by the
department. Videos and DVDs are lent free of charge, excluding return postage.
Mine and Quarry Bureau
The Mine and Quarry Bureau provides education, training and technical assistance on the operation of
mines and quarries. The bureau helps operators to train their employees in safe working procedures. The
bureau has jurisdiction over 379 private sector mines, quarries, and sand and gravel pit operations that
employ more than 4,000 citizens.
The bureau also inspects abandoned surface mines for the protection of the general public, promotes rock-hound
safety, and conducts an explosives safety course for anyone handling or using explosives.
2
Overview
Occupational Safety and Health Division
The Occupational Safety and Health Division administers workplace safety and health laws that apply to
the private sector and all state and local government agencies.
OSH standards parallel the federal OSHA standards. North Carolina currently conducts one of the 22 state-administered
comprehensive OSHA programs in the nation.
The OSH Division conducts about 4,300 inspections a year. The division conducts investigations of
employee complaints, investigations of work-related accidents and deaths, randomly scheduled site inspec-tions,
and special emphasis program inspections. Inspection targeting schedules, inspection files and other
statistical reports are maintained by the Planning, Statistics and Information Management Bureau.
The division offers free services to private and public employers through its Consultative Services Bureau.
It also offers educational and technical assistance through the Education, Training and Technical Assistance
Bureau. Employers may contact the OSH Division to receive free assistance, including standards interpre-tations
or on-site visits.
The Agricultural Safety and Health Bureau enforces the Migrant Housing Act of North Carolina, which
requires the registration and inspection of housing provided to seasonal migrant agricultural workers.
Migrant housing must meet federal standards plus specific standards for hot water, heat, fire protection and
kitchen sanitation. The bureau also conducts OSH compliance inspections in agricultural settings utilizing
OSHA standards when there is employee exposure.
Research and Policy Division
The Safety and Health Survey Section of the Research and Policy Division collects and processes infor-mation
on workplace injuries, illnesses and fatalities for the U.S. Bureau of Labor Statistics. Data collected
by the division include the annual Survey of Occupational Injuries and Illnesses and the Census of Fatal
Occupational Injuries. The Individual Development Accounts Program provides assistance to low-income
individuals toward attaining self-sufficiency through homeownership, micro-enterprise, or education and
training.
Wage and Hour Bureau
The Wage and Hour Bureau enforces laws that cover minimum wage, overtime, wage payment, child labor,
recordkeeping, private personnel services and controlled substance examination. Wage payment provi-sions—
which include the payment of promised wages such as vacation, sick pay or other benefits—cover
all employees except those in federal, state and local government. The bureau investigates worker complaints
and collects back wages owed to employees.
Youth employment certificates are required for all workers under 18 years of age who work in non-agricultural
and nongovernmental jobs. Certificates can be obtained online through the department’s website
and from county departments of social services. Workers in this age group are prohibited from employment
in occupations declared to be hazardous or detrimental to their health and well-being.
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N.C. Department of Labor 2011 Annual Report
The Standards and Inspections Division comprises six bureaus of the N.C. Department of Labor:
Apprenticeship and Training, Boiler Safety, Elevator and Amusement Device, Employment Discrimina -
tion, Mine and Quarry, and Wage and Hour.
Statistical Highlights for State Fiscal Year 2011
Apprenticeship and Training Bureau
• The number of apprentices who completed the program was 1,916.
• The completion rate for registrants who began their training after July 1, 2004, and completed the
program prior to June 30, 2011, was 65 percent.
• The total number served was 7,744 (active apprentices at beginning of year plus new registrations).
• The overall average completion wage rate for all completers was $16.97.
Boiler Safety Bureau
• 51,040 items of pressure equipment were inspected.
• 2,665 violations were identified.
• The average combined state and insurance backlog was 0.71 percent.
• There were no major boiler or pressure vessel accidents in North Carolina.
Elevator and Amusement Device Bureau
• 22,039 new and routine elevator inspections were completed.
• 7,410 amusement devices were inspected at 1,211 locations.
• Patron error continued to be the leading cause of accidents, accounting for 83 percent of the accidents
investigated.
• There were no major elevator or amusement ride accidents in North Carolina.
Employment Discrimination Bureau
• 60 percent of complaints were based on workers’ compensation claims, 28 percent were based on
wage and hour concerns, and 12 percent were based on safety and health concerns.
• 707 complaints were received and 731 investigations were completed.
Mine and Quarry Bureau
• Conducted 592 on-site training programs and trained 5,552 miners and contractors.
• The injury and illness rate of the North Carolina minerals industry was 2.44.
Wage and Hour Bureau
• Recovered more than $1.8 million in wages for 2,594 workers.
• Opened 5,190 investigations and closed 4,637 investigations.
• Issued 48,161 youth employment certificates.
• Completed investigation of 145 youth employment complaints.
• Contacted every employer within two working days from the time a complaint was filed.
4
Standards and Inspections Division
Standards and Inspections Division
Apprenticeship and Training Bureau
The Apprenticeship and Training Bureau is the North Carolina administrator of the National Apprentice -
ship Act of 1937. The bureau approves apprenticeship programs, maintains records and issues certificates
to apprentices who complete apprenticeship training.
The bureau’s primary roles, working through its consultants, are to promote and develop new apprentice-ship
programs among employers, to service existing programs, and to certify completers.
In North Carolina, apprenticeship is a voluntary system of employee training combining on-the-job learn-ing
and related instruction to form a quality training system for employers throughout the state. The
apprentice learning a trade is taught by a skilled journeyworker.
Apprenticeship programs, which generally take three years to four years to complete, are established in 925
occupations in North Carolina. Wages usually begin at about half the journeyworker rate, but never below
minimum wage, and rise as the apprentice progresses through the program, gaining skill and competence.
Data for the bureau are reported for the state fiscal year (July 1 through June 30).
Highlights From Fiscal Year 2011
• The total number of new registrations was 2,005.
• The number of completions from the apprenticeship program was 1,916.
• The total number served was 7,744 (active apprentices at beginning of year plus new registrations).
• The completion rate for registrants who began their training after July 1, 2004, and completed the pro-gram
prior to June 30, 2011, is 65 percent. This completion rate is determined by apprentices entering
the program who completed both the on-the-job learning and related classroom instruction training.
• During this period, 16,608 registrants completed all requirements of the program, while 8,956
canceled out of the program prior to successful completion.
• The overall average completion wage rate for all completers was $16.97.
State Approving Agency (SAA) for Veterans Affairs
The bureau contracted with the U.S. Department of Veterans Affairs in October 2004 to become the State
Approving Agency for GI Bill benefits to eligible veterans training in on-the-job learning and apprentice -
ship. The bureau approved 70 new apprenticeship and on-the-job learning programs and submitted them to
the VA for approval.
At the end of FY 2011, 437 eligible veterans in North Carolina indicated that they planned to draw GI Bill
benefits through apprenticeship and on-the-job learning. These benefits are tax-free dollars that go directly
to the veterans through their participation in apprenticeship training and on-the-job learning programs.
Incarcerated Apprentices
According to the N.C. Department of Correction, one of the most important factors affecting the success
of ex-offenders is their ability to get hired and hold a steady job. An ex-offender who is gainfully employed
is three times less likely to commit another crime.
Statewide efforts are underway through a joint partnership between the N.C. Department of Correction and
N.C. Department of Labor to enhance and grow this opportunity in those facilities involved with appren-ticeship
or on-the-job learning.
Developing a program for inmates who are receiving training in apprenticeship occupations continues to
grow as the need to provide this type of training and credential becomes more apparent. To date, the bureau
has registered 1,885 inmates in 24 different apprenticeship and on-the-job learning programs. There were
269 inmates active in Department of Correction apprenticeships at the end of FY 2011.
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N.C. Department of Labor 2011 Annual Report
Construction Apprentice Contests at the N.C. State Fair
Apprentice contests in bricklaying, electrical, plumbing and pipefitting, and HV/AC-R were held at the
N.C. State Fair. Registered apprentices from across the state competed with other apprentices in the
contests. The bureau held a carpentry contest with a two-person team format for high school students in
construction trades. Each contest has a committee made up of apprenticeship sponsors who assist in the
development of the contests and assist in recruiting other sponsors to participate along with recruiting the
materials needed for the contests.
In addition, the bureau helped organize the Fourth Annual Lineman’s Rodeo, which was held in May at the
State Fairgrounds during the Got to Be N.C. Festival. The Lineman’s Rodeo showcased the occupation and
helped recruit new employees to the trade.
USDOL Implementation Grant
On Dec. 30, 2008, the U.S. Department of Labor put into effect revisions to the federal rules governing
apprenticeship to align the national apprenticeship system with the tools and flexibility needed for the 21st
century global economy. USDOL also provided the NCDOL Apprenticeship and Training Bureau with a
grant. The NCDOL Apprenticeship Modernization and Dislocated Worker Assistance Project has:
• Worked toward developing strong partnerships to integrate apprenticeship and preapprenticeship pro-grams
in emerging industries such as biotechnology, healthcare and logistics.
• Modified a new Web-based application for new reporting requirements and changes resulting from
implementing new federal regulations.
• Funded a statewide apprenticeship conference that took place in Greensboro in April. The theme of
the conference was “Earn While You Learn: Developing Skills for North Carolina’s Workforce.” The
conference included workshops, exhibits and recognition awards.
6
Standards and Inspections Division
Labor Commissioner Cherie Berry congratulates Hunter Livingston
and Ray Croon for winning the 25th Annual Carpentry Contest at the
N.C. State Fair. The bureau held the contest for two-person teams of
high school students in the construction trades.
Boiler Safety Bureau
During state fiscal year 2011, the Boiler Safety Bureau employed 14 field inspectors, two field supervisors,
five administrative staff and two senior staff to support more than 50,000 inspections. State inspectors,
along with 12 insurance company partners, conducted in-service inspections on boilers, antique boilers,
model/hobby boilers, various types of pressure vessels, repair inspections, and pressure equipment acci-dent
investigations. The Boiler Safety Bureau is a receipt-supported bureau; the fees collected pay for the
operation of the bureau and the salaries of the bureau staff.
Commissioned inspectors conducted third-party authorized inspector duties at companies where boilers
and pressure vessels are manufactured. The bureau’s support staff processed and conducted quality control
functions on all inspection reports received by hard copy or electronically.
Highlights From Fiscal Year 2011
• 51,040 inspections were conducted.
• 2,665 violations were identified.
• 2,264 new items were inspected.
• There were no major boiler or pressure vessel accidents in North Carolina.
Programs
Periodic inspection continues to be the primary focus of the Boiler Safety Bureau. The bureau also pro-vides
education and promotes voluntary safety. The bureau’s inspection program for boilers and pressure
vessels covers a wide array of businesses and industries. Table 1 shows the number of inspections and
violations for FY 2006 through FY 2011.
7
N.C. Department of Labor 2011 Annual Report
The bureau’s boiler and pressure vessel inspectors gather with Commissioner Berry
during a staff training session in Raleigh.
Table 1
Number of Inspections and Violations, FY 2006 Through FY 2011
2006 52,061 1,699
2007 50,537 1,714
2008 50,286 1,499
2009 52,233 2,794
2010 51,288 2,073
2011 51,040 2,665
Backlogs
Any inspection program can have a backlog of items past-due for inspection. The combined average per-centage
of state objects and insurance objects was 0.71 in FY 2011, one of the lowest backlog rates among
states inspecting boilers and pressure vessels.
Additional Work
In addition to the inspections of equipment in businesses and institutions throughout the state, inspectors
with special training and endorsements carried out ASME Boiler and Pressure Vessel Code third-party
inspections in manufacturing facilities that construct boilers and pressure vessels as well as pressure equip-ment
repair firms known as National Board “R” Stamp holders.
The bureau’s support staff entered the collected data from hard copy reports into the data system and con-ducted
quality reviews of the data entered directly by inspectors. They printed and mailed invoices and
certificates and answered many questions from inspectors and the public.
Elevator and Amusement Device Bureau
The Elevator and Amusement Device Bureau is responsible for the proper installation and safe operation
of all elevators, escalators, workman’s hoists, dumbwaiters, moving walks, aerial passenger tramways,
amusement rides, incline railways, and lifting devices for persons with disabilities that operate in public
establishments (except federal buildings) and private places of employment. It also inspects all of the
amusement devices each and every time they are set up for operation in the state. The bureau inspects all
inflatable amusement devices and portable rock walls. The bureau conducted 22,039 routine and new ele-vator
inspections as well as 7,410 amusement devices at 1,211 locations.
Highlights From Fiscal Year 2011
• A total of 21,192 routine inspections and 847 new elevator inspections were completed.
• The bureau inspected 7,410 amusement devices at 1,211 locations.
• Patron error continued to be the leading cause of accidents, accounting for 83 percent of the accidents
investigated.
• There were 63 elevator accidents/incidents investigated, of which 48 were reportable. Only 11 of those
accidents/incidents were related to a mechanical error, while the other 52 were due to patron error.
• Of the hundreds of thousands riding amusement rides, there were only 25 accidents/incidents inves-tigated.
Four of these were mechanically related errors, while the other 21 were due to patron error.
8
Standards and Inspections Division
Elevator Inspections
Inspections of elevators, dumbwaiters, escalators and handicapped lifts consist of routine inspections of
existing devices and new inspections. As shown in Figure 1, the number of routine inspections increased
from the previous fiscal year, while the number of new inspections decreased.
Figure 1
Routine Inspections and New Inspections, FY 2008 Through FY 2011
9
N.C. Department of Labor 2011 Annual Report
Amusement Device Inspections
Amusement device inspections consist of mechanical rides, inflatable rides, go-karts, rock-climbing walls,
etc. Tramways and ski lifts are included in this inspection category but excluded from the reported data.
The Elevator and Amusement Device Bureau continued the Rider Safety Program with the theme of
“Measure Up to Safety.” While mechanical rides at permanent parks are inspected once annually, mechan-ical
rides with traveling amusement companies are inspected every time they are set up for operation at
fairs, festivals, carnivals and other amusement events. The bureau also conducts operational inspections at
least once during the operating season for permanent parks and at least once during the operation at a trav-eling
show. The bureau inspects all inflatable amusement devices and portable rock walls that operate in
the state on an annual basis.
Figure 2 indicates the total number of amusement devices inspected in FY 2007 through FY 2011. The
number of individual amusement rides inspected increased 2.9 percent from FY 2010 to FY 2011 and has
increased 32 percent from FY 2007 to FY 2011.
Accident or Incident Investigations
Accident investigations are conducted according to N.C. Gen. Stat. § 95-110.9. Reports required.
(a) The owner of any device or equipment regulated under the provisions of this Article, or his authorized
agent, shall within 24 hours notify the Commissioner of each and every occurrence involving such device or
equipment when:
Figure 2
Number of Amusement Rides Inspected, FY 2007 Through FY 2011
10
Standards and Inspections Division
(1) The occurrence results in death or injury requiring medical treatment, other than first aid, by a physician.
First aid means the one time treatment or observation of scratches, cuts not requiring stitches, burns, splin-ters
and contusions or a diagnostic procedure, including examination and x-rays, which does not ordinarily
require medical treatment even though provided by a physician or other licensed personnel; or
(2) The occurrence results in damage to the device indicating a substantial defect in design, mechanics,
structure or equipment, affecting the future safe operation of the device. No reporting is required in the
case of normal wear and tear. The owner of the equipment is required to contact the Bureau.
An inspector is sent to the location and completes a report that is kept on file. As Table 2 reflects, the total
number of accident investigations increased in FY 2011. Patron error continues to be the leading cause of
both elevator and amusement ride accidents.
Table 2
Number of Elevator and Amusement Device Accidents, FY 2007 Through FY 2011
Patron Mechanical Reportable Non- Patron Mechanical Reportable Non-
Error Error Reportable Error Error Reportable
FY 2007 20 9 10 19 7 5 6 6
FY 2008 25 5 7 23 9 3 6 6
FY 2009 31 5 32 4 10 0 8 2
FY 2010 32 9 32 9 14 5 16 3
FY 2011 52 11 48 15 21 4 22 3
Employment Discrimination Bureau
The Employment Discrimination Bureau enforces the Retaliatory Employment Discrimination Act. The law
was enacted in 1992 following the disastrous plant fire at Imperial Foods in Hamlet. REDA incorporated
whistleblower protections from the Wage and Hour and the Occupational Safety and Health acts. Additional
provisions protect workers’ compen sation claimants, hemoglobin C and sickle cell carriers, and those subject
to genetic testing, National Guard service and involvement in the juvenile justice system. In 2004 protection
was added for employees seeking relief from domestic violence. In 2008 protection was added for employ-ees
who have made complaints under the pesticide regulation statutes. In 2009 protection was added for
employees reporting activities of their employers under the Paraphernalia Control Act.
The bureau receives oversight from the federal Occupational Safety and Health Administration under a
contract that requires the bureau to be “as effective as” the federal agency in enforcing the occupational
safety and health whistleblower protections of REDA.
In FY 2011, the percentage of complaints based on workers’ compensation claims increased to 60 percent,
while those based on safety and health concerns decreased to 12 percent, and those based on wage and hour
matters increased to 28 percent. The remaining complaints fell under other laws enforced by the bureau. (See
Table 3.) The bureau received 707 complaints, a decrease of 11 percent over FY 2010. (See Figure 3.) The
emphasis on early resolution and settlement of complaints was again a major factor in the bureau’s
operations in FY 2011. The bureau continued to contact both the complainant (employee) and the respondent
(employer) within 15 days of receiving the complaint. The bureau continued to intervene early in the inves-tigation
process, bringing the complaint to a quicker conclusion. The bureau was able to settle 75 of the
731 cases closed in FY 2011.
In FY 2011, 76.6 percent of the complainants were given a right-to-sue letter, 10.3 percent of the cases
were settled, 2.3 percent were found to have merit, 2.6 percent of cases were withdrawn by complainants,
1.9 percent of cases were closed when the complainant failed to respond, 1.8 percent of complaints came
after the statute of limitations, 0.1 percent were referred to other agencies, and 2.9 percent were closed
administratively. In the remaining 1.6 percent of cases, the bureau did not make a determination within 180
days of the filing, and the complainant was granted a right-to-sue letter.
11
N.C. Department of Labor 2011 Annual Report
Figure 3
Employment Discrimination Complaints Received and Completed, FY 2008 Through FY 2011
12
Standards and Inspections Division
Mine and Quarry Bureau
The Mine and Quarry Bureau is one of the earliest established units of the N.C. Department of Labor, having
administered state mining laws since 1897. The bureau administers laws concerning the operation and
inspection of mines and quarries. Bureau staff consists of a bureau chief, an office assistant, and four mine
safety and health field representatives.
Highlights From Fiscal Year 2011
• Continued a Mine Safety and Health Supervisory Training Seminar. Upon completion of the seminar,
students are able to verify operational compliance with federal and state mine law and standards
through use of pertinent government publications; reduce accidents and citations caused by non-compliance
issues; promote the general health and safety of their operations; and understand the
importance of the “safe production” process in building a lasting safety culture.
• Conducted N.C. Mine Safety and Health Eastern and Western Seminars in Raleigh and Morganton.
• Conducted 233 inspections and evaluations of active and abandoned mines.
• The number of miners and contractors trained was 5,552.
• Conducted 592 on-site education and training programs.
• The injury and illness rate of the North Carolina minerals industry was 2.44. Rates on injury
occurrence are developed on the basis of 200,000 hours of employee exposure (equivalent to 100
employees working 40 hours per week for 50 weeks per year).
The Mine and Quarry Bureau continues to provide a wide assortment of mine safety and health services
such as complete safety evaluations of the workplace, consultations, technical assistance, education and
training, health surveys, safety meetings, investigations, and training plan assistance. Instructor fundamentals,
explosives safety, health and safety laws, and supervisory training are offered through the Mine and Quarry
Bureau’s seminars and institutes. (See Table 4.)
Table 4
Mine and Quarry Training and Inspection Activities, FY 2007 Through FY 2011
Number of Mine Safety and
Health Instructors Trained 27 56 18 60 72
Number of People Trained in
Explosives Safety 66 139 170 164 79
Total Number of Inspections
and Evaluations Conducted 464 506 504 448 233
Number of Education and Training
Programs Provided 562 525 529 531 592
Number of Miners and
Contractors Trained 7,856 8,895 7,161 5,801 5,552
Table 3
Number of Complaints by Type, FY 2009 Through FY 2011
2009 495 182 84 17
2010 464 210 114 6
2011 425 189 87 6
Wage and Hour Bureau
The Wage and Hour Bureau administers the N.C. Wage and Hour Act, which includes the minimum wage,
overtime pay and wage payment (promised wages including wage benefits, such as vacation pay, sick
leave, holiday pay, and bonuses and commissions). The bureau ensures employers make, keep and preserve
records of hours worked, wages paid, and other conditions and practices of employment necessary for the
enforcement of wage and hour laws.
The bureau issues youth employment certificates to protect the health and safety of minors and to pre-serve
young workers’ rights. The bureau also enforces the statutes that regulate the licensure and
reporting requirements of private personnel service and job listing service agencies and the Controlled
Substance Examination Regulation Act. The bureau is also responsible for the department’s toll-free
telephone system. Bureau staff consists of an administrator, a deputy administrator, three supervisors, an
office manager, 19 investigators, and seven information specialists.
Highlights From Fiscal Year 2011
• Answered 87 percent of all calls placed to the call center (1-800-NC-LABOR) on the first attempt.
• Contacted every employer within two working days from the time a complaint was filed.
• Resolved 96.5 percent of 4,637 closed investigations; 76 percent were based on factual evidence
obtained from one or both parties.
• Recovered wages exceeding $1.8 million for 2,594 workers without litigation.
• Completed investigation of 145 complaints involving youth employment.
• Completed 334 noncomplaint investigations involving youth employment issues or training.
Call Center
The bureau’s call center is staffed by seven public information assistants who are the first point of contact
to the Department of Labor for most customers. Their primary job duties are to gather information relative
to alleged violations of laws enforced by the bureau and to enter appropriate data into an electronic data-base
that is used for assignment and tracking of complaints received. Additionally, they refer callers to
other sections within the department, other state or federal agencies, or civic/charitable organizations that
may provide assistance.
Call centers are often characterized as “high volume” centers, and the numbers in Table 5 certainly speak
to this. Three of the seven public information assistants are bilingual and provide assistance to callers who
speak Spanish. They also assist investigators and other departmental employees with their Spanish skills
as the need arises.
Table 5
Wage and Hour Call Center Activity, FY 2004 Through FY 2011
2004 83,023 78,448 94.5
2005 98,486 93,344 94.8
2006 97,351 88,862 91.3
2007 96,881 91,312 94.3
2008 103,159 93,451 90.6
2009 94,795 87,045 91.8
2010 91,792 84,070 91.6
2011 74,816 65,193 87.1
13
N.C. Department of Labor 2011 Annual Report
Wage and Hour Investigations
The majority of the bureau’s investigations are based on employee complaints. The bureau also conducts non-complaint
investigations and industry-specific investigations to determine compliance with assigned laws.
The data in Figure 4 indicate that the majority (90.3 percent) of the investigations closed during FY 2011 were
wage payment claims. These claims include such things as vacation/sick pay, bonuses, commissions, holiday
pay, and the like. Minimum wage claims accounted for 3.5 percent of investigations closed; overtime
accounted for 3.1 percent; and other (i.e., youth employment, recordkeeping, controlled substance and private
personnel) also accounted for 3.1 percent.
Table 6 compares the bureau’s performance with previous years. The inventory of open investigations
increased from 827 at the end of FY 2010 to 1,380 at the end of FY 2011.
From the complainants’ perspective, the most important aspect of the bureau’s job is the recovery of unpaid
wages. The bureau was able to recover and distribute more than $1.8 million for the citizens of the state
without litigation expenses. (See Figure 5.) The total does not include the $72,922 collected by the Legal Affairs
Division. More than $1.5 million of the nearly $4.7 million found due was uncollectable due to bankruptcy.
Table 6
Wage and Hour Investigations Opened and Investigations Closed, FY 2002 Through FY 2011
2002 5,218 5,281
2003 4,556 4,684
2004 4,971 4,890
2005 5,537 5,384
2006 6,425 5,331
2007 4,974 5,588
2008 6,133 6,077
2009 4,917 4,501
2010 5,647 6,559
2011 5,190 4,637
Youth Employment Certificates
Protecting young workers from inappropriate or unsafe jobs is the cornerstone of the Youth Employment
Certificates program. The timely review of certificates issued continues to be a key element in our efforts to pro-tect
young workers. The data in Figure 6 indicate that 48,161 youth employment certificates (work permits)
were issued in FY 2011, a 4.3 percent increase from the previous fiscal year. The figure also indicates that 70.9
percent of all certificates issued during FY 2011 were issued through the online system. Certificates issued
online provide immediate feedback to employers and applicants when the age and proposed job place the
employer in jeopardy of compliance with state or federal child labor laws. Additionally, online issued certifi-cates
are reviewed the next business day, whereas the review of certificates issued by the Department of Social
Services and designees may lag by five to six months.
Bureau staff completed investigations of all 145 complaints involving youth employment received during
FY 2011 as well as 189 noncomplaint investigations involving youth employment provisions of the act.
14
Standards and Inspections Division
15
N.C. Department of Labor 2011 Annual Report
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Figure 4
Types of Wage and Hour Investigations Closed, FY 2011
Figure 5
Wage and Hour Assessments and Collections, FY 2004 Through FY 2011
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16
Standards and Inspections Division
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Figure 6
Youth Employment Certificates Issued, FY 2008 Through FY 2011
17
N.C. Department of Labor 2011 Annual Report
Occupational Safety and Health Division
The Occupational Safety and Health Division comprises five bureaus of the N.C. Department of Labor:
Agricultural Safety and Health; Compliance; Consultative Services; Education, Training and Technical
Assistance; and Planning, Statistics and Information Management.
Statistical Highlights for 2011
Agricultural Safety and Health Bureau
• The ASH Bureau completed 1,349 preoccupancy housing inspections of migrant farmworker housing
and issued certificates to 1,374 sites.
• The bureau completed filming its workplace training DVD on Migrant Housing Act standards in time
for the 2012 growing season.
• The bureau conducted 89 compliance inspections and issued 174 violations, with total current penalties
amounting to $127,360.
Compliance Bureau
• Compliance conducted 2,790 safety inspections and 1,486 health inspections, for a total of 4,276
compliance inspections.
• Compliance issued citations for 9,742 violations, with total current penalties amounting to
$6,417,852.
Consultative Services Bureau
• The bureau conducted 775 safety visits and 498 health visits, for a total of 1,273 consultative visits.
• Hazards identified and eliminated as a result of consultative visits totaled 6,783. Of these, 5,496 were
serious hazards, and 1,287 were other-than-serious hazards.
• The Safety Awards Program celebrated its 65th year, awarding 2,722 annual and 98 million-hour safety
awards.
• The bureau recognized eight new Star sites and recertified 43 Star sites. There were 137 companies
in the Star Program at the end of the fiscal year.
Education, Training and Technical Assistance Bureau
• The ETTA Bureau conducted nearly 300 courses, forums and workshops, providing training for more
than 7,400 employers and employees.
• The bureau distributed 48,120 hard copy publications.
Planning, Statistics and Information Management Bureau
• The PSIM Bureau completed the Public Sector Survey for calendar year 2010 with a 99.9 percent
response rate and a 100 percent clean rate.
• The bureau received 641 disclosure requests and processed 587 requests.
18
Occupational Safety and Health Division
Agricultural Safety and Health Bureau
Inspection Effort
In 2011, the ASH Bureau completed 1,349 preoccupancy housing inspections of migrant farmworker hous-ing
and 89 compliance inspections. Certificates were issued to 1,374 sites with total occupancy (beds) of
15,844. Sites in 100 percent compliance at time of inspection are 874 operated by 532 growers. Gold Star
status received by 198 growers.
Gold Star Growers
The 17th Annual Gold Star recognition program was held in Raleigh at the N.C. State Fairgrounds on Feb.
2, 2011. The keynote speaker, Dr. Blake Brown of NCSU, presented economic variables impacting the
agricultural industry in North Carolina. One hundred Double Gold Star Growers were nominated, and an
additional 102 were invited as recipients of a single Gold Star. Growers received Gold Star designation
because they were in full compliance at the time of their preoccupancy inspection, had registered 45 days
prior to occupancy, had requested water and septic checks from the local health department, and had
demonstrated a willingness to continually improve housing conditions. The Most Improved Housing
Award was presented to R.H. Byrd Jr. The Outstanding Double Gold Star Grower Award was presented to
Kenneth Fann. An award for best new construction was presented to David Hopkins. The Ron Hudler
Workplace Safety Training Award, created in honor of the memory of Christmas tree grower Ron Hudler,
former chairman of the Agricultural Safety and Health Council, was presented by his son, Dale Hudler, to
Ricky and Trellis Lasley, who operate a tobacco farm in the Reidsville area.
Compliance
ASH inspectors conducted 89 compliance inspections in calendar year 2011. These inspections included
13 accidents, 12 complaints, 44 referrals, 17 unprogrammed related and three programmed inspections that
focused primarily on field sanitation compliance. The bureau issued 174 violations. During this period 19
percent of the inspections resulted in no citations. Total penalties for current citations issued amounted to
$127,360. In addition, a number of unregistered, uncertified camps were discovered during 2011.
Workplace Safety Training and Outreach
During the summer months, ASH conducted a number outreach/training sessions for migrant farm workers
on North Carolina. farms. On May 24, 2011, a half-day on-site safety training workshop involving five
topic-specific training stations was held on Tull Hill Farms, hosted by Jimmy Hill, who invited farmers and
farmworkers from nearby farms to
attend. Training included prevention of
heat stress, heat stroke, DOL housing
regulations, tobacco harvester safety, and
tobacco baler safety. In June, a similar
meeting was held on a Christmas tree
farm and focused on safety concerning
machinery used in that occupation. On
June 28, training for 200 was held at
Scott Farms, a large tobacco operation.
At the Scott Farm training, an NCDOL
employee provided CPR and Red Cross
training for 25 of the attendees. The
bureau held a meeting for farm labor con-tractors
Aug. 23. Training focused on
ASH inspector Lauren Norton teaches a group about safe
work practices during a training session.
19
N.C. Department of Labor 2011 Annual Report
farm labor contractor responsibilities. Training at Berry Nursery, formerly Zelenka Nursery, was conducted
on Sept. 30.
Inspector/Staff Training
Inspectors and staff attended numerous in-house training classes, including: the OSH 100 (refresher); 1928
standards; human trafficking conducted by Raleigh Police; and TB Prevention.
Workplace Training DVD Completed
The DVD on the Migrant Housing Act housing standards was completed in time for the 2012 growing season.
This most recent training DVD features eight growers across North Carolina whose migrant housing
exceeds the standards in the act. The DVD also lists the basic requirements of the act. As with all previous
DVDs, this latest DVD is in Spanish and in English. It will be mailed to all registered growers in the state.
Partnerships, Associations and Collaborations With Groups
The ASH Bureau continues to strengthen partnerships and associations with other groups, such as NCSU
cooperative extension agents, the ECU Agromedicine program, and the Office of Rural Health. ASH per-sonnel
conducted training at the tobacco grower meetings sponsored by Reynolds Tobacco and Phillip
Morris; the National Christmas Tree Grower Association meeting; N.C. Agricultural Extension meetings
in Pasquotank County; and a number of other grower organizational meetings during 2011. ASH staff also
collaborated with the National Institute for Occupational Safety and Health concerning information on the
personal protective equipment surveillance in the agriculture program.
Compliance Bureau
Occupational Safety and Health (OSH) Compliance ensures compliance with occupational safety and
health laws, rules and regulations; and employee protection in workplaces throughout North Carolina
through the use of professional industrial hygiene, safety engineering, administrative, training and techni-cal
services provided to all employers within the state of North Carolina. OSH Compliance identifies and
analyzes workplace accidents, injuries and occupational illnesses; evaluates workplace safety methods,
policies, procedures and programs; communicates workplace safety information to employees and employ-ers;
measures, analyzes and evaluates the effectiveness of safety programs, as well as affecting changes to
programs to achieve optimum results in the various workplaces throughout North Carolina. The compli-ance
activities are directly associated with the OSH Division’s strategic plan. The data are reported on a
federal fiscal year basis (Oct. 1 through Sept. 30).
FY 2011 compliance activities included:
• 4,276 compliance inspections (See Figure 7.)
• 2,790 safety inspections
• 1,486 health inspections
• 1,812 construction inspections
• 9,742 total violations
• 3.7 average number of violations per inspection
• $6,417,852 in penalties assessed
• 22.9 average lapsed days from inspection date to when citations were issued
• 1,108 informal conferences conducted
• 6,643 serious hazards abated
• 1,637 employer safety and health program improvements
• 72 inspections associated with the Tree Felling Special Emphasis Program
• 1,098 inspections in the Construction Special Emphasis Program counties
• 127 inspections in long-term care facilities
• 236 inspections associated with the Health Hazards Exposure Special Emphasis Program
• 191 site-specific targeting special emphasis-related inspections
• 162 inspections associated with the public sector
• 31 compliance interventions (includes speeches, training programs and program assistance)
• 118 accident investigations
• 784 complaint inspections
• 354 safety and health referrals inspections/investigations
• 106 employment discrimination investigations associated with occupational safety and health
Figure 7 depicts the total number of compliance inspections conducted in North Carolina for federal fiscal
years 2002 through 2011. Budgetary constraints in FY 2010 and FY 2011 had a direct impact on the number
of compliance inspection activities that could be performed. In addition to inspection/investigation activity,
OSH Compliance provides technical assistance and outreach training to as many employers and employees
as resources will permit.
Several tools, in addition to the statewide injury and illness rates, are used to monitor inspection quality
and operational efficiency. Figure 8 represents the total recordable case rate per 100 full-time public and
private sector North Carolina workers. Internal case file audits, field audits, employer/employee feedback
and informal conferences are some of the tools used to measure quality and consistency of the statewide
work product.
Figure 7
Number of Compliance Inspections, FY 2002 Through FY 2011
20
Occupational Safety and Health Division
21
N.C. Department of Labor 2011 Annual Report
Figure 8
Occupational Injury and Illness Rate for North Carolina,
Public and Private Sectors, Calendar Years 2001 Through 2010
Source: U.S. Bureau of Labor Statistics
Additional significant activities that occurred in OSH Compliance or involved OSH Compliance participa-tion
during FY 2011 include the following:
• Twelve chapter revisions to the state’s Field Operations Manual were submitted as state plan changes.
They were mostly related to compliance programming and conducting inspections.
• The Compliance Bureaus provided about 400 hours of outreach activity and logged 6,000 miles in
response to the Hurricane Irene recovery efforts.
• Partnerships were initiated on a roadway construction project in Raleigh and a bridge construction
project near Salisbury.
• OSH Assistant Director Kevin Beauregard appeared before Congress in June 2011 and testified at a
hearing on behalf of the Occupational Safety and Health State Plan Association. The hearing per-tained
to the state plan monitoring process and compliance oversight.
• A five-year statistical analysis completed by Planning, Statistics and Information Management
(PSIM) and ending in FY 2010 documented a 44.57 percent DART rate reduction for employers par-ticipating
in the Compliance Site-Specific Targeting Program reflecting 834 establishments.
• A Compliance led committee refined the OSH penalty collection process and was successful at signifi-cantly
reducing the total balance of outstanding penalties. The process has been streamlined and cases are
being closed in a timelier manner.
Kevin Beauregard (far right) testifying before
the House Committee on Education and the
Workforce in Washington, D.C.
22
Occupational Safety and Health Division
• OSH Compliance initiated activity to replace the OSHA Information System (OIS) with a state-specific
system. The existing federal system and proposed new federal system do not have sufficient design
functions to meet state needs. A new software and hardware design will replace the existing system and
will serve as the main database collection and retrieval system for all OSH programs.
• The Compliance Bureau’s quality program resulted in numerous improvements to operating procedures
and policies. The Field Operations Manual (FOM), numerous Operational Procedure Notices, and other
policies and procedures were modified in an effort to continually improve the process, service and end
product of the compliance group.
• OSH Compliance continued its homeland security and emergency preparedness efforts through involve-ment
with local emergency planning committees (LEPCs), the State Emergency Response Commission
and federal agencies.
• N.C. Department of Labor, Balfour Beatty Construction Co. and D.H. Griffin celebrated a successful com-pletion
of the safety partnership to construct the new Guilford County Detention Center. The partnership
agreement emphasized a desire to work cooperatively towards reducing Injuries and illnesses.
Consultative Services Bureau
The Consultative Services Bureau continued to provide services to the employers and employees in both
the private and public sectors during federal fiscal year 2011. The bureau conducted 1,273 total consultative
visits. (See Table 7.)
• 775 (61 percent) safety visits; 498 (39 percent) health visits.
• 1,091 (86 percent) initial visits; 102 (8 percent) training/assistance visits; 80 (6 percent) follow-up visits.
• 1,062 (83 percent) private sector visits; 211 (17 percent) public sector visits.
• 365 (29 percent) manufacturing visits; 191 (15 percent) construction visits; 506 (39 percent) other
type visits; 211 (17 percent) public sector visits.
OSH Division employees join Labor Commissioner Cherie Berry and employees of Balfour
Beatty Construction Co. and D.H. Griffin in celebrating the successful completion of the con-struction
safety partnership for the building of the new Guilford County Detention Center.
23
N.C. Department of Labor 2011 Annual Report
• Hazards identified and eliminated as a result of consultative visits totaled 6,783. Of these, 5,496 (81
percent) were serious hazards, and 1,287 (19 percent) were other-than-serious hazards.
In FY 2011, consultants also conducted 632 safety and health interventions, which included speeches, train-ing
programs, program assistance, interpretations, conference/seminars, outreach and other interventions.
Table 7
Consultative Services Bureau Program, FY 2008 Through FY 2011
Comparisons FY 2008 FY 2009 FY 2010 FY 2011
Total Visits by Category
Safety 774 783 797 775
Health 384 403 416 498
Total Visits by Type
Initial 994 1,041 1,047 1,091
Training and Assistance 102 69 79 102
Follow-up 62 76 87 80
Total Visits by Industry Type
Manufacturing 366 345 393 365
Construction 322 269 254 191
Other 279 375 341 506
Public Sector 191 197 225 211
Total Visits
The Safety Awards Program celebrated its 65th year with another successful season. The Gold Award was
presented to employer sites with a total lost workday case rate (lost and restricted workdays included) at least
50 percent below the state average for its industry. The Silver Award went to employer sites with a lost work-day
rate at least 50 percent below the state average. This year 30 safety award banquets were held, with a
total of 3,200 in attendance. The program distributed 2,722 annual awards and 98 million-hour awards.
North Carolina is still ranked No. 1 as a state plan state and is ranked second of all states that participate
in the VPP/Star Program. The recognition programs also enjoyed another year of growth and success. Eight
new Star sites were recognized, 43 Star sites were recertified, and 107 first-time Star interventions were
conducted. There were 137 companies in the Star Programs at the end of FY 2011.
The Consultative Services Bureau continues to reach small employers and encourage participation in the
Safety and Health Achievement Recognition Program. In FY 2011, the bureau recognized 50 SHARP-related
worksites. There are currently 105 SHARP-related worksites.
Education, Training and Technical Assistance Bureau
FY 2011 Accomplishments
The ETTA Bureau continued to focus on increasing efficiency and effectiveness in providing outreach
training to workers in high-risk industries and affirming its role to ensure adherence to terms of agreement
for partnerships and alliances. The work of the bureau included rulemaking, publications, partnerships,
alliances, training and outreach.
Publications
New publications developed during 2011 included industry guides for occupational exposure to isocyanates
and hexavalent chromium and a new logging safety supplemental booklet. New hazard alerts developed
24
Occupational Safety and Health Division
included scissor lifts, excavation and trenching dangers, heat stress and working in hot conditions, marina
safety, and pyrotechnics. One Spanish quick card was developed for excavation and trenching safety. Two
fact sheets on rigging, cranes and derricks were published and posted to the NCDOL website.
To provide more outreach toward employers in our special emphasis programs, the bureau started devel-opment
of industry guides that are safety and health management program focused and are continuing to
expand the new health hazard series with an industry guide on silica in development. During 2011, the
bureau distributed 48,120 OSH publications. Sales and distributions assisted 13,045 customers as part of
outreach services and activities.
The bureau expanded its Web-based A–Z topics list, delivering more training information and materials
through the NCDOL website. The list covers many safety and health topics with links to in-depth informa-tion,
including training resources and publications such as sample programs, applicable standards, operating
documents and other agency resources.
Rulemaking
The Standards Section served the public by answering 5,146 inquiries for interpretations by phone or written
correspondence. Additional work included review and update of most Field Operations Manual chapters,
memorandum of understanding with other state agencies, and industrial data reports.
The Standards Section adopted the Standards Improvement Project phase III and Shipyards—General
Working Conditions, which became effective in October 2011 in North Carolina. Compliance directives
for personal protective equipment in general industry and construction were adopted along with emphasis
programs, such as primary metals.
Partnerships and Alliances
The ETTA Bureau and the East Compliance Bureau manage the OSH Partnership and Alliance Program.
The purpose of the program is to foster relationships with industry that will leverage OSH resources and
decrease the number of injuries and illnesses in the state. At the end of FY 2011, the division had 13 active
partnerships and alliances. Partnerships included Barnhill Construction Co./Balfour Beatty, Flatiron
Construction Corp./Lane Construction Corp., and Raleigh-Durham Road Builders. Alliances included
Builders Mutual Insurance Co., Carolinas AGC, Forestry Mutual Insurance Co., the N.C. Forestry
Association, N.C. Utility Contractors Association, N.C. Public Safety Divers Association, N.C. State
University—Industrial Extension Service, the Safety and Health Council of North Carolina, Lamar
Advertising Co., and Sampson County Community College. No new partnerships are currently planned for
FY 2012. In FY 2012, the alliance program will focus specifically on OSH special emphasis industries. At
this time, the bureau is pursuing alliances in long term care, food manufacturing and wood products.
Training and Outreach
In FY 2011, ETTA continued providing outreach training to employers and employees across the state of
North Carolina. The bureau offers training through a variety of sources, including the OSH speaker’s
bureau, 10- and 30-hour awareness courses, individual topic workshops at the Charlotte, Raleigh, Winston-
Salem and Asheville Field Offices, and Web training.
ETTA also hosted or participated in 297 courses and events with a total of 7,429 personnel trained. These
included six 10-hour and two 30-hour general industry awareness courses, and seven 10-hour and two 30-
hour construction industry awareness courses. Nearly 100 percent of students who attended the courses
found them to be useful in the workplace. In addition to the larger courses, ETTA offered 106 webinars
that were 90 minutes long and 32 hour-long workshops at the OSH field offices. ETTA staff also provided
and exhibited at 23 safety and health fairs, industrial conferences, and workshops. In addition to ETTA
25
N.C. Department of Labor 2011 Annual Report
training numbers, Consultative Services Bureau and Compliance Bureaus trained another 3,374 employ-ers/
employees, for a total of 10,803 workers trained during FY 2011.
In an effort to ensure adequate focus on the OSH Division’s special emphasis programs, the division con-tinued
to provide training to workers in special emphasis groups including construction, logging, arbori-culture,
food manufacturing, wood products, long term care, health hazards and public sector. A total of
6,031 employees and employers covered by the OSH special emphasis programs were trained in the divi-sion’s
outreach programs.
In FY 2011, four construction industry 30-hour awareness courses, nine construction industry 10-hour
awareness courses and three general industry 10-hour awareness courses were offered through the OSH
Train the Trainer Program. A total of 166 students were trained by NCDOL OSH authorized trainers. ETTA
will offer the second round of Train the Trainer Program courses to employers and employees in OSH spe-cial
emphasis programs in August and September 2012. Through the program, individuals who complete
a one-week trainer course are authorized to teach OSH 10-Hour and 30-Hour courses in construction or
general industry.
The training calendar continues to expand and provides the public with an invaluable training resource. For
the first time in ETTA’s history, an annual training schedule is available to the public on the NCDOL web-site.
ETTA sent out more than 73,000 newsletter emails during the fiscal year to inform employers and
employees of upcoming courses. The calendar allows for online registration and outlines upcoming course
offerings, special events, safety schools and conferences.
ETTA produced and currently provides a resource CD that includes all ETTA publications, OSHA stan-dards
including state-specific standards, PowerPoint presentations, and the training course catalog. The
resources on the CD can be downloaded from the Internet onto a PC desktop in a CD ready format that can
be used directly from the desktop or burned onto a CD for portability.
Planning, Statistics and Information Management Bureau
The Planning, Statistics and Information Management (PSIM) Bureau responds to statistical data requests
and requests for the release of OSH Division investigative file documents. PSIM also gathers and analyzes
injury and illness data by conducting two annual surveys, the Public Sector Survey and the OSHA Data
Initiative Survey. Data are also gathered and analyzed to publish the OSH Division’s Annual Program
Statistics Report. The bureau archives all OSH Compliance investigative files. The PSIM Bureau maintains
the OSH Division’s private and public sector employer databases, the inspection targeting system, and
statistical data related to workplace fatalities, all in support of the OSH Division’s Strategic Plan. During
FY 2011, the PSIM Bureau was not fully staffed but managed to continue to provide excellent service to
its customers.
• Completed the Public Sector Survey (collection of calendar year 2010 injury and illness data) of
3,157 employers with a 99.9 percent response rate and a 100 percent clean rate. A total of six non -
responders were referred to the Compliance Bureau. As of the end of FY 2011, all but four of these
surveys have been collected.
• Completed an analysis of data collected from the 2007, 2008, and 2009 Public Sector Surveys, resulting
in updated, established target rates for employer specific categories.
• PSIM bureau chief continued to perform duties associated with the responsibility of being the medical
records coordinator for the OSH Division.
• Worked in conjunction with ETTA Bureau, Compliance Bureau and Legal Affairs Division staff to
update and revise several Field Operation Manual chapters. PSIM Staff also updated OPN 124 and
OPN 128. Updated APN 19 for FY 2012.
26
Occupational Safety and Health Division
• Analyzed public sector inspection activities for FY 2006–2010.
• Analyzed private sector site specific inspection activities for FY 2006–2010.
• Analyzed construction inspection activities for FY 2010.
• Completed FY 2010 Occupational Fatalities Comparison Report (OFIR Report Analysis). See Figure 9.
Figure 9
Fatalities Included in the Occupational Fatality Investigation Review, 2007 Through 2011
• Analyzed and verified CY 2010 fatality data for Communications Division’s annual press release.
• Continued refinement of the OSH private and public sector databases to supplement our exclusive use
of the Employment Security Commission database.
• Received, researched and processed 1,320 requests for revisions/changes to the private and public
sector databases, which helps to enhance the accuracy of these site databases and the OSH Division
Targeting System.
• Various targeting schedules were updated and assignments released:
• SST schedule
• Public sector schedule
• General industry schedules (safety and health)
• ASH schedule
• Health hazards schedules (asbestos, lead, and isocyanates)
• Fatality reinspection schedule
• Communication tower schedule
• NEP recordkeeping schedule – added primary metal industries
• NAICS 321 (wood products) schedule
• Diacetyl schedule
• Revised the lead, asbestos and isocyanates/health hazards targeting schedules. Redesigned the gener-al
industry health hazards targeting schedules in order to increase the number of health hazard SEP
inspections.
27
N.C. Department of Labor 2011 Annual Report
• PSIM staff members continued as active Strategic Management Plan (SMP) Committee members and
participated in all SMP meetings, discussions, and activities, which were essential functions directly
related to the success of OSH Strategic Plan goals.
• Collection of ODI data for calendar year 2010 officially concluded in October 2011 with a 100 per-cent
response rate and a 100 percent clean rate. Three survey mailings and over 900 phone calls were
made to 3,117 survey participants resulting in only 12 nonresponders, which were referred to the
Compliance Bureau.
• Compilation and analysis of OSH data were completed for the OSH Annual Program Statistics Report
(FY 2009–2010).
• Organization, coordination and management of a large project contracted with an outside vendor to
convert all OSH inspection files from 1973 through 1996 currently stored on microfiche and micro-film
and closed inspection files through FY 2007 to imaged documents and to upload those files into
our current document management system.
• The project of quality control review is continuing and ongoing for OSH inspection files that have
been archived through the imaging process.
• Received 641 disclosure requests in FY 2011 and processed 587 requests (458 from FY 2011 and 129
from previous years) during this fiscal year, which resulted in a 94 percent response rate.
28
Administration Division
Statistical Highlights for 2011
Budget and Management Division
• The annual budget for FY 2011 was $33,397,424; revenue: $16,554,745; appropriations: $16,842,679.
Communications Division
• Released 79 news releases and media advisories.
• N.C. Labor Ledger database grew to 13,225 subscribers.
• Publications Bureau produced nearly 2.7 million impressions and processed more than 109,000
pieces of outgoing mail.
• The NCDOL Library’s circulation of audiovisual materials totaled 3,472 items at an average of 289
per month.
Governmental Affairs Division
• Monitored the session of the General Assembly.
Human Resources Division
• 382 employees as of Dec. 31, 2011.
Information Technology Division
• The help desk answered 1,636 calls.
• The department’s website had 1,712,487 hits.
Legal Affairs Division
• The division reviewed all NCDOL rules and regulations and reported results to the Joint Select
Regulatory Reform Committee of the General Assembly.
• The division initiated rulemaking for the Boiler Safety Bureau and the Occupational Safety and
Health Division.
• The division began to research, develop and draft rules to implement E-Verify legislation passed by
the General Assembly.
Research and Policy Division
• Conducted the Survey of Occupational Injuries and Illnesses and the Census of Fatal Occupational
Injuries. The 2010 SOII rate tied the record low number from 2009.
• 597 IDA account holders have saved an aggregate $1,863,999, acquired more than $1,194,000 in match-ing
grant funds, and purchased an estimated $49,295,509 in assets since the beginning of the program.
Administration Division
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N.C. Department of Labor 2011 Annual Report
Budget and Management Division
The Budget and Management Division’s 13 employees are responsible for all fiscal-related areas of the
agency. The division continues initiatives to streamline our operations by creative uses of technology and
more effective uses of our skilled staff. These initiatives have resulted in a 13 percent reduction in divi-sional
management and staff since the beginning of 2008.
Job responsibilities are separated into four categories: budget/accounts payable; purchasing; federal grant
administration; and accounts receivable/collections. Reporting is done on a state fiscal year basis (July 1
through June 30). Table 8 provides data for each fiscal year beginning in FY 2008 and going through the
first half of FY 2012.
Table 8
Budget and Management Division Activities, FY 2008 Through FY 2012
Annual budget $31,212,573 $33,080,501 $33,205,759 $33,397,424 $32,578,991
Revenue $13,920,958 $14,370,689 $15,568,920 $16,554,745 $16,423,188
Appropriations $17,291,615 $18,709,812 $17,636,839 $16,842,679 $16,153,803
Average no. of checks
written/month 489 462 407 397 394
Average monthly expenses $2,558,832 $2,567,270 $2,290,096 $2,367,635 $2,297,840
Percentage of invoices
received/paid within 5 days 99 99 96 98 99
Average number of purchase
orders issued/month 39 44 64 42 56
Monthly average value of
purchase orders issued $55,594 $87,041 $72,833 $113,880 $113,871
Percentage of purchase orders
issued within five days 100 100 100 100 100
Average monthly inspection fees
registrations & penalties collected $684,099 $738,665 $729,125 $889,574 $894,713
Average monthly caseload for
collections 2,195 2,387 2,963 3,582 2,807
Budget/Accounts Payable/Purchasing
For FY 2010-11, the Department of Labor was under an annualized 3.5 percent cut in state allotments.
Department of Labor management had foreseen the probability of these state-mandated allotment reduc-tions
and planned accordingly. A 3 percent expense reduction expectation was put in place on July 1, 2010,
for all Department of Labor divisions and bureaus. Therefore, any resulting negative impacts from Office
of State Budget mandated allotment reductions were effectively minimized. Similarly, Department of
Labor management instituted a 1 percent expense reduction beginning July 1, 2011, for FY 2011-12. For
its part, the Division of Budget and Management continues to meet its internal benchmarks by paying for
and ordering items within five working days from receipt, thereby enabling the department to continue its
efforts to be fiscally responsible and prudent with available resources.
Accounts Receivable/Collections
The Accounts Receivable/Collections Section is responsible for all revenue received by the department.
Two bureaus are fully receipt supported and one bureau is partially receipt supported, which makes it vital
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Administration Division
that all revenues are collected and deposited in a timely and accurate manner. In addition, assessed penal-ties
are collected and distributed to local school systems throughout the state in accordance with state law.
The division took numerous actions throughout the year to increase the effectiveness of collection efforts.
These include:
• The responsiveness of the PayPoint application for our customers allows us to provide immediate
receipts either through e-mail or by fax, which benefits our customers as they no longer have to
depend on personal check copies or bank statements. We continue to phase in bureaus to the PayPoint
option, with the goal of having all 13 of our bureaus having the ability to utilize PayPoint applications.
The tentative “go live” date whereby boiler and pressure vessel payments can be made online is Feb.
10, 2012, and the tentative “go live” date for apprenticeship registration payments is April 1, 2012.
The Budget and Management Division continues to work closely with the NCDOL Information and
Technology Division in developing two major enhancements that will have dramatic positive impacts on
all our workflow processes. These include:
• Replacement of the outdated FileNet system (bids received in late December 2011)
• Replacement of the outdated NCR system for OSH payments (target submission date for request for
proposals is early spring of 2012)
Communications Division
The NCDOL Communications Division provides direct support and assistance in publications work,
library services, and information to the general public and media outlets. Information is handled in a
number of ways—through direct telephone contact with the members of the media and general public,
releases, news letters, brochures, manuals and other publications. The division prepares speeches for
NCDOL personnel, and the division’s publications staff prints workplace safety and other materials the
department provides to the public.
The division edits all materials printed by the Publications Bureau and coordinates the posting of items on
the department’s website. The division released 79 news releases and media advisories, including work-place
fatalities, safety award winners, fair safety updates and other safety training events.
The department’s newsletter, NC Labor Ledger, subscription base grew from 11,914 subscribers at the end
of 2010 to 13,225 at the end of 2011. The division’s print shop provided more than 2.67 million impres-sions
and sent 1,272 electronic items. The print shop staff also processed 109,353 pieces of outgoing mail
in addition to distributing incoming mail for the department’s Raleigh area offices.
Library
The N.C. Department of Labor Library’s collection contains about 12,800 volumes, including 1,400 safety-related
audiovisual items and numerous electronic resources on various labor-related topics. The library
provides a comprehensive program of informational services for NCDOL employees, other state employees,
other libraries, organizations and the general public. Its purpose is to support the mission and goals of the
department to promote the health, safety and general well-being of the 4 million workers in the state. The
library staff of two provides assistance in using the library’s physical and electronic resources.
To fulfill the needs of the agency and the public in 2011, the library staff responded to 2,388 telephone, fax
and email requests, 440 reference questions, and registered 221 new audiovisual patrons. The audiovisual
circulation totaled 3,472 audiovisual items (including 374 renewals) at an average of 289 per month. (See
Table 9.) Circulation peaked in January, when 395 audiovisual items (including 25 renewals) were loaned
out. Demand remained substantial in spite of the recession’s impact on the business community.
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N.C. Department of Labor 2011 Annual Report
Table 9
Library Statistics, 2010 and 2011
Audiovisual Loans 3,472 289 3,843
Phone, E-mail and Fax
Inquiries/Requests 2,388 199 2,555
Reference Questions 440 37 529
Walk-in patrons 711 59 786
The library acquired 62 new audiovisual volumes this year (most of them also in Spanish), in addition to
44 non-audiovisual volumes (i.e., books, standards, CD-ROMs). In addition to circulating a large volume
of audiovisual and print material, as well as fulfilling the informational needs of its patrons, the library also
arranged the cataloging of its material. Fifty-three titles were cataloged and added to the library’s collection.
The requests for information covered an interesting array of topics in 2011. Information requests included
laser safety, ammonia refrigeration, ergonomics, rappelling, old North Carolina OSH opinions, North
Carolina building codes, collective bargaining, logging, industrial ventilation, and agricultural tractors.
The library also received requests for standards on fall protection, automotive lifts, ladders, compressed
gases, cranes, brakes, ammonia refrigeration, welding, steel erection, conveyors, low/high lift trucks, first
aid kits, stationary compactors, and other topics.
In December, the library prepared for a reorganization that resulted in its transfer from the Communications
Division to the OSH Education, Training and Technical Assistance Bureau (effective Jan. 1, 2012).
Governmental Affairs Division
The General Assembly convened for the 2011 long session Jan. 26, 2011, and adjourned June 18. The
House and Senate reconvened for several special sessions during the summer and fall to address redistrict-ing,
veto overrides and various additional matters. The Governmental Affairs Division tracked dozens of
bills that directly and indirectly affected NCDOL. Following are selected highlights of legislative issues
relevant to the department.
FY 2011-2012 Budget
HB 200—Appropriations Act of 2011
2011 marked the third straight year of significant budget cuts. The N.C. Department of Labor experienced
a reduction of $1,005,792, or about 6 percent. Four vacant positions were eliminated, and five positions
were shifted to receipt-support. The department secured $350,000 in Workforce Investment Act funds to
support the Apprenticeship and Training Bureau.
• Section 6A.14(a) required that each executive branch agency provide a copy of its mobile electronic
device usage policy to the General Assembly by Sept. 1, 2011. In response, the department adopted
a new policy governing assignment and use of mobile electronic communications devices. This sec-tion
also required agencies to submit quarterly reports regarding the number and cost of mobile
devices.
• Section 12.1 repealed G.S. 95-14.1, which required that the department submit a biennial review of
fees to the General Assembly. The department is already required to submit a similar report to the
Office of State Budget and Management.
This bill was vetoed by the governor, but became law on June 15 when the General Assembly voted to
override the veto.
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Administration Division
New Laws Affecting NCDOL
HB 36—Employers and Local Government Must Use E-Verify
This legislation requires that all private employers that employ more than 25 individuals use the federal
E-Verify system to verify each new employee’s work authorization. Seasonal employees (employed for 90
or fewer days during a 12 consecutive month period) are exempt from the new requirement. Counties and
cities will also be required to use E-Verify for new employees. State agencies are already required to par-ticipate.
E-Verify is an Internet-based system that compares information from an employee’s I-9
(Employment Eligibility Verification) to data from U.S. Department of Homeland Security and Social
Security Administration records to confirm employment eligibility.
Of significance to the department, this legislation requires that the commissioner of labor create a com-plaint
form for a person to allege a violation of the new E-Verify requirements, accept complaints from the
public, and investigate and hold hearings to determine if a violation has occurred. The commissioner is also
required to assess certain penalties if a violation is found. The law becomes effective Oct. 1, 2012, for pri-vate
employers that employ 500 or more workers; Jan. 1, 2013, for employers that employ 100 or more but
less than 500 workers; and July 1, 2013, for employers that employ 25 or more but less than 100 workers.
The department has formed a work group to draft administrative rules, necessary forms, and procedures.
HB 385—2011 Omnibus Labor Law Changes
This legislation makes technical changes to various laws enforced by the N.C. Department of Labor as rec-ommended
by the department’s bureau chiefs. Sections 1–4 make changes to the Uniform Boiler and
Pressure Vessel Act; Sections 5–6 make changes to the Amusement Device Safety Act; Section 7 makes
changes to the Passenger Tramway Safety Act; Section 8 makes changes to the Occupational Safety and
Health Act; and Sections 9–10 make changes to the Retaliatory Employment Discrimination Act. The bill
passed both chambers unanimously.
SB 781—Regulatory Reform Act of 2011
Of the numerous bills filed during the long session addressing agency rulemaking reform and agency final
decision-making authority in contested cases, SB 781 is the bill that emerged as the final product. Details
of the law and its requirements can be found on p. 36 under the Legal Affairs Division.
This bill was vetoed by the governor, but became law when the General Assembly voted to override the veto.
SJR 17—Joint Regulatory Reform Committee
This bill was the result of an initiative by the Governor’s Office and the General Assembly to reduce the
number of administrative rules in order to create a stronger job-creation environment. It establishes the
Joint Regulatory Review Committee, comprised of nine House members and nine Senate members. The
purpose of the committee is to hold public hearings in order to identify outdated, overly burdensome,
vague, and/or unnecessary rules that may be an impediment to job creation. The committee will also review
the rulemaking process and recommend changes. Near the end of the session, this committee submitted
its first comprehensive recommendation via SB 781—Regulatory Reform Act of 2011. SB 781 makes
significant changes to the agency rulemaking process.
SB 166—No Adult Left Behind
This bill directs the Commission on Workforce Development, acting as the lead agency, to work with the
N.C. Department of Labor and other state agencies to initiate the “No Adult Left Behind” Initiative geared
toward achievement of major statewide workforce development goals. The first goal of the initiative is to
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N.C. Department of Labor 2011 Annual Report
increase to 40 percent the number of North Carolinians who earn associates degrees, other two-year
credentials or baccalaureate degrees. The commission and the associated agencies shall submit to the
governor and General Assembly a progress report by May 1, 2012, and annually thereafter.
Bill Introduced That Did Not Become Law but Eligible for 2012 Session
SB 697—Patient Advocacy and Protection Act
The original version of this bill would have significantly amended the Retaliatory Employment
Discrimination Act (REDA) by adding a new section titled “Retaliation against nurses prohibited.” This
section would protect nurses who make a good faith report concerning patient care or who engage in patient
advocacy. It would also give nurses who are injured by a violation of the act the ability to seek damages,
court costs and attorneys’ fees, and it would authorize the commissioner of labor to impose a civil penalty
of up to $25,000, which is substantially different from current REDA provisions. This bill was heard in the
Senate Health Care committee, where it was significantly amended. The revised version of the bill moves
some of the original provisions from REDA to the Nurse Practice Act. However, the bill authorizes a nurse
to file a written complaint with the commissioner of labor, which the department would investigate. This
version removes the original provisions related to damages and civil penalties. This version passed the full
Senate unanimously but saw no action in the House. The bill is eligible for 2012 short session consideration,
and the department will likely seek changes to the language if it progresses.
Bills Introduced That Did Not Become Law and Ineligible for 2012 Session
• Legislation amending the Migrant Housing Act by adding many new housing requirements.
• Legislation modifying the agricultural exemption in the Wage and Hour Act.
• Legislation adding a new article to Chapter 95 that would clarify the distinction between employees
and independent contractors
• Legislation amending the Wage and Hour Act pertaining to the recovery of unpaid wages.
• Legislation allowing for a wider exemption from the general industry OSH standards for agricultural
operations.
• Legislation adding a REDA protection for employees caring for extended family members.
• Legislation requiring that employers provide paid sick time.
Human Resources Division
The Human Resources Division supports the department through the administration and management of
workplace services and the personnel policies and procedures established by the State Personnel Act (N.C.
Gen. Stat. § 126). Human Resources chronicled new hires, separations from services, promotions within
the department, job postings, applications received, and total personnel actions processed. In addition the
two part-time receptionists in the Labor Building assisted the department by responding to 10,799 phone
calls in 2011.
Working with a third party administrator, Human Resources administers the department’s workers’ com-pensation
program. There were 24 injury/illness reported claims during 2011. Of these, two qualified as
OSHA recordable injuries. Table 10 provides a comparison of HR activity in calendar years 2008 through
2011.
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Administration Division
Table 10
Human Resources Activities, Calendar Years 2008 Through 2011
New Hires 20 14 27 19
Separations 33 20 37 27
Promotions 25 12 12 8
Job Applications Received 2,416 1,035 2,453 1,327
Personnel Actions Processed 273 102 133 149
Total Positions on 12/31 434 419 411 409
Total Employees on 12/31* 407 398 387 382
*includes part-time employees
sharing one position 6 6 6 6
Positions Posted for the Year** 66 36 51 50
**internal, external and repostings
Average Employee’s Age 49 49 50 51
Average Employee Service Months 159 148 151 160
Information Technology Division
The Information Technology Division provides the N.C. Department of Labor with information technology
services for the analysis, design, engineering, and acquisition of all hardware and software, while providing
daily service and support through installation, operation and maintenance of computers, servers, printers,
local area networks and wide area networks. The division provides database design and administration support
to application software, server operating systems software, and hardware. It also supports a federal-level
information system (Integrated Management Information System (IMIS)), which is used by the
Occupational Safety and Health Division.
PC Support Section
The PC Support Section began the project of converting its file server from the Novell operating system to
Microsoft Active Directory. This conversion is a statewide initiative; DOL is well on its way with this proj-ect.
The project, which will be completed in 2012, not only will replace the file server but will also serve
as the authentication scheme for the upcoming replacement of the current Document Management System.
A new anti-virus product was installed department-wide. PC Support began converting our desktop base
operating system to Windows 7, and this will continue through 2012 as new PCs and laptops are ordered.
NCDOL web content continued to grow, with additional content added to the department’s website.
Additional PC Support Section accomplishments in 2011 included:
• Completion of 1,636 help desk calls
• Response to 1,820 phone calls for assistance
• Completion of 105 in-house repairs of PCs, laptops and printers
• Data line upgrade at Lake Boone Trail to accommodate increased network traffic
• Provision of assistance to PSIM Bureau with data scanning project for input of data into FileNet
Applications Services Section
The Applications Services staff continued an initiative to develop more effective methods of creating and
supporting software systems, including engaging outside companies to provide on-demand development
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N.C. Department of Labor 2011 Annual Report
support; investing in business analysis and XML courses; and implementing version control software. Our
focus is to maximize the use of limited resources through collaboration and innovative use of promising
methodologies and technology.
Additional Applications Services Section accomplishments in 2011 included:
• Issued a request for proposals (RFP) to replace the obsolete FileNet enterprise content management
system.
• Developed a governance review board process to approve and prioritize software systems develop-ment
throughout the department.
• Supported an OSH business analysis effort for a transition from the federal Integrated Management
Information System (IMIS).
• Readied the Apprenticeship Bureau’s Web application for deployment in the first quarter of 2012.
• Participated in an initiative led by the Office of the State Controller (OSC) to automate inspections,
with the Elevator Bureau being selected as a primary pilot project in this effort.
• Deployed Oracle 11g to replace existing Oracle 8 and 9 installations, including new Oracle develop-ment
and document assembly software.
• Implemented the OSH closed file tracking system.
• Implemented OSH penalty receivables, penalty payments and balances modules.
• Generated the required OSH inspection targeting lists.
• Updated 400 intranet pages.
• Created the employee recognition microsite.
• Created an ASH intranet microsite.
• Updated the Boiler Safety used vessel permission module for greater ease of use.
• Initiated consolidation of two internal web servers into one, including an upgrade from ColdFusion 7
to 9.
• Supported the deployment of a new DMZ server by installing ColdFusion 9 running on Apache Web
server.
Legal Affairs Division
The Legal Affairs Division of the Department of Labor advises the commissioner and the department as a
whole on a wide variety of legal issues. The division monitors all legal issues related to the department.
This includes: reviewing and referring cases in need of litigation to the Attorney General’s Office; advis-ing
the commissioner and the department when policy developments involve legal issues; conducting legal
reviews of policies and procedures; conducting conciliations for NCDOL’s Employment Discrimination
Bureau; fielding a wide variety of constituent questions/issues; serving as liaison between the Safety and
Health Review Commission and the department for the purpose of distributing documents, maintaining and
reporting compliance officer availabilities and hearing schedules; maintaining a comprehensive database and
auditing employee compliance with the NCDOL State Vehicle Use Policy; housing the position of chief
records retention officer for the department; and conducting all rulemaking activities for the department.
Wage and Hour Judgments/Settlement Disbursements
Since 2009, the Legal Affairs Division has been assisting the Attorney General’s Office in collecting out-standing
wage and hour judgments. All outstanding judgments are in different stages of the collection
process as the division continues to actively pursue collection of these wages for the employees to whom
they are owed.
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Administration Division
The division has worked actively with employers to collect monthly payments after the employer defaults
on a settlement agreement entered into with the department to pay back wages plus interest to one or more
employees. In 2011, LAD action on these outstanding settlement agreements resulted in gross collections/
disbursements of $19,333.33 to one employee; $4,480.73 in gross collections/disbursements to six employees;
and $13,107.67 in gross collections/disbursements to one employee.
The Legal Affairs Division also worked with Barber Scotia College and its accountant to re-evaluate the
settlement agreement relating to wages that are owed to 46 current and former employees of the college.
Payments totaling $36,000 were received during 2011 and were disbursed amongst the employees at the
end of each quarter. These payments and disbursements will continue quarterly until paid in full.
Total outstanding wage collections by the division in 2011 totaled $72,921.73.
Division/Departmental Policies and Procedures
In 2011, the Legal Affairs Division began collaborating with both the Boiler Safety Bureau and the
Elevator and Amusement Device Bureau to review and revise certain policies, practices and procedures.
These revisions are an effort to streamline inspection procedures, maximize the effectiveness of penalty
assessment and collections, and conserve time for field and office staff alike through a variety of revised
measures. Work on revising policies and procedures will continue into 2012.
Additionally, the Legal Affairs Division provides continuous support to the entire department by providing
such things as administration assistance, interpretations, guidance/assistance on specific matters/issues,
and enforcement/investigation of policy and procedure violations.
Senate Bill No. 781
Senate Bill 781 became law on July 25, 2011. Section 57 of SB 781 ordered every state agency, board,
commission or other body with rule-making powers to deliver a list of all permanent rules adopted by the
body to the Joint Select Regulatory Reform Committee of the General Assembly by Oct. 1, 2011. The list
was required to set forth the following information for each individual agency rule: (1) Whether the rule is
mandated by a federal law or regulation; (2) If the rule is not mandated by a federal law or regulation,
whether there is a federal regulation that is analogous to the rule; and (3) If there is a federal statute or
regulation analogous to the rule, whether the rule is more stringent than the federal law or regulation.
The Legal Affairs Division, with the assistance of ETTA and ASH in the evaluation of safety and health
rules, reviewed each departmental rule in accordance with the requirements of SB 781. A complete detailed
report was submitted to the Joint Select Regulatory Reform Committee of the General Assembly prior to
the deadline.
SB 781 also made extensive changes to Chapter 150B, the Administrative Procedures Act. These changes
have a significant impact on the rulemaking process and have placed numerous additional requirements on
the division relating to the department’s administrative rules. One such requirement is the implementation
of the Rules Modification and Improvement Program as required by N.C. Gen. Stat. § 150B-19.2. This new
program requires agencies to conduct an annual review and submit a report to the Office of State Budget
and Management (OSBM) each year of all existing rules to ensure that they are not unnecessary, unduly
burdensome or inconsistent with the principles set forth in N.C. Gen. Stat. § 150B-19.1. Additionally,
OSBM will be accepting comments from the public relating to agency rules and agencies must review the
public comments and prepare a report on whether any of the recommendations contained in the comments
have potential merit or justify further action. The Legal Affairs Division has reviewed the public comments
received through OSBM, prepared the required response and filed the appropriate report with OSBM prior
to the deadline of Jan. 31, 2012. The division has finalized the first annual review of all departmental rules
in compliance with N.C. Gen. Stat. § 150B-19.1 and has submitted the required report to OSBM.
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N.C. Department of Labor 2011 Annual Report
Occupational Safety and Health—Variances
In accordance with N.C. Gen. Stat. § 95-132, employers may apply to the commissioner for a temporary,
permanent or experimental variance from a promulgated Occupational Safety and Health Standard. The
Legal Affairs Division works with the Education, Training and Technical Assistance (ETTA) Bureau to
review variance applications and to ensure compliance with the N.C. General Statutes, N.C. Administrative
Code and the Code of Federal Regulations. The division also prepares and files the paperwork necessary
to process a variance request in accordance with Title 13, Chapter 07A, Section .0700 of the N.C.
Administrative Code. After many years of working closely with ETTA, on Aug. 23, 2011, DSM Dyneema
LLC filed an application for a permanent variance with the commissioner. If granted, the variance will
allow DSM Dyneema LLC to use an alternative supplied air respirator system (alt. SAR system) for entry
into and escape from certain immediately dangerous to life and health (IDLH) atmospheres. Unless the
variance is granted, the usage of the alt. SAR system would be prohibited by OSH general industry stan-dards.
The notice of filing of an application for permanent variance from occupational safety and health
standards was filed with the Office of Administrative Hearings on Dec. 8, 2011, and was published in the
Jan. 3, 2012, North Carolina Register. The variance request will remain active as additional procedures are
followed and information is gathered by ETTA during 2012.
Rulemaking
Boiler Safety Bureau
Various Amendments/Adoptions (13 NCAC 13 .0101; 13 NCAC 13 .0103; 13 NCAC 13 .0202; 13
NCAC 13 .0203; 13 NCAC 13 .0204; 13 NCAC 13 .0208; 13 NCAC 13 .0209; 13 NCAC 13 .0211; 13
NCAC 13 .0212; 13 NCAC 13 .0301; 13 NCAC 13 .0401; 13 NCAC 13 .0404; 13 NCAC 13 .0406; 13
NCAC 13 .0408; 13 NCAC 13 .0409; 13 NCAC 13 .0410; 13 NCAC 13 .0411; 13 NCAC 13 .0412)
Pursuant to N.C. Gen. Stat. § 95-69.14, the commissioner of labor may, after consultation with the Board of
Boiler and Pressure Vessels Rules, adopt, modify or revoke any rules and regulations governing the con-struction,
installation, repair, alteration, inspection, use and operation of boilers and pressure vessels as the
commissioner deems appropriate to ensure the safe operation and avoidance of injury to person or property
from boilers and pressure vessels. The Board of Boiler and Pressure Vessels Rules met on June 10, 2010,
and proposed certain changes to Title 13, Chapter 13 of the N.C. Administrative Code. In addition to ensuring
the safety of citizens in North Carolina, the referenced modifications and adoptions were necessary to ensure
that the administrative rules governing boiler and pressure vessels in North Carolina conform as nearly as
possible to the standards of the National Board Inspection Code, the American Society of Mechanical
Engineers, and the amendments and interpretations of those engineering standards. The proposed amendments/
adoptions were published in the North Carolina Register on March 15, 2011, and all became effective on
July 1, 2011, with the exception of 13 NCAC 13 .0211, which became effective on Aug. 1, 2011.
General Agency Rules
E-Verify Rules (Title 13, Chapter 12, Section .0900)
House Bill 36 became law on June 23, 2011. HB 36/SL 2011-263 is an act that requires counties, cities,
and employers with 25 or more employees to use the federal E-Verify Program to verify the work author-ization
of newly hired employees. SL 2011-263 amended Chapter 64 of the General Statutes by adding
Chapter 64, Article 2—Verification of Work Authorization. This amendment charged the commissioner of
the labor with investigating complaints for alleged violations of the E-Verify law by certain private
employers. NCDOL will only investigate whether an employer used E-Verify to determine work authorization
status of new hires. The act becomes effective, and thus enforcement by NCDOL will be implemented, in
stages as follows:
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Administration Division
• Effective Oct. 1, 2012—employers with 500 or more employees will be required to use E-Verify to
check work authorization for all new hires;
• Effective Jan. 1, 2013—employers with 100 or more employees will be required to use E-Verify to
check work authorization for all new hires
• Effective July 1, 2013—employers with 25 or more employees will be required to use E-Verify to
check work authorization for all new hires.
NCDOL will not accept any complaints until the first effective date of Oct. 1, 2012. Between Oct. 1, 2012,
and Dec. 31, 2012, complaints will only be accepted against employers with 500 or more employees.
NCDOL does not have any jurisdiction with regards to E-Verify over state/local government agencies nor
municipalities and will not be able to accept complaints against these entities. Also, temporary seasonal
workers who work fewer than 90 days within a consecutive 12-month period and employers with 24 or less
employees are exempt and are not required to comply with E-Verify laws.
The N.C. Department of Labor’s Governmental Affairs Division did a significant amount of research into this
matter, and the department subsequently formed an E-Verify Committee. The Legal Affairs Division is in the
process of researching, developing and drafting substantive administrative rules needed to implement the act.
Additionally, members of division are serving on the E-Verify Committee to develop the necessary forms and
procedures to incorporate this added responsibility into NCDOL. It is anticipated that these rules will be in
effect on Oct. 1, 2012, which is the first date the act becomes effective and enforceable in North Carolina.
Occupational Safety and Health
Crane and Derrick Rules (13 NCAC 07F .0901–.0927)
Beginning in 2008 and continuing through early 2011, the Legal Affairs Division was involved in the
department’s proactive approach toward protecting those in North Carolina who operate and work around
cranes. As a result, new state-specific rules for cranes and derricks were adopted that mirrored, with some
exceptions, the federal consensus document submitted to federal OSHA that the Cranes and Derricks
Negotiated Rulemaking Committee (C-DAC) had been working on since 1998. 13 NCAC 07F
.0902–.0927 became effective Oct. 1, 2009. However, due to receiving numerous objections to 13 NCAC
07F .0901 (Scope), it was withdrawn from consideration by the Rules Review Commission while the
department worked with industry to come to a mutually agreeable rule. After much discussion, 13 NCAC
07F .0901 was refiled with the Rules Review Commission for consideration on June 23, 2010, and became
effective Sept. 1, 2010.
Meanwhile, as was published in the Aug. 9, 2010, Federal Register, the U.S. Department of Labor revised
its Cranes and Derricks in Construction Standard along with related sections of the construction standards
(29 CFR 1926) to update and specify industry work practices necessary to protect employees. These
federal standards became effective Nov. 8, 2010. Since North Carolina is a state plan state that must remain
at least as effective as the U.S. Department of Labor, the N.C. Department of Labor filed proposed tempo-rary
repeals of 13 NCAC 07F .0901–.0927, which became effective Nov. 8, 2010, along with a verbatim
adoption of the federal standards to avoid any overlap or confusion between the state-specific and federal
rules. Permanent repeals were filed simultaneously with the temporary rules/verbatim adoption and were
published in the Oct. 1, 2010, North Carolina Register. The permanent repeals were heard before the Rules
Review Commission on Jan. 20, 2011, and became effective on Feb. 1, 2011.
General Industry (13 NCAC 07F .0101), Construction (13 NCAC 07F .0201), Agriculture (13 NCAC
07F .0301, Shipyard Employment (13 NCAC 07F .0501), and Marine Terminals (13 NCAC 07F .0502)
The division was also involved in verbatim adoptions of changes to Title 29 of the Code of Federal
Regulations promulgated by federal OSHA, including changes to Part 1910—General Industry, Part
39
N.C. Department of Labor 2011 Annual Report
1915—Shipyard Employment, Part 1917 – Marine Terminals, Part 1926—Construction, and Part 1928—
Occupational Safety and Health Standards for Agriculture.
29 CFR 1902.2(a) and N.C. Gen. Stat. § 95-131(a) require verbatim adoptions such as these in order for
North Carolina’s occupational safety and health program to be as effective as the federal program and to
maintain North Carolina’s state plan status under the federal Occupational Safety and Health Act of 1970.
The amended rules were adopted pursuant to N.C. Gen. Stat. § 150B and all were effective in North Carolina
on Oct. 31, 2011. The following are summaries of the topics covered by the 2011 verbatim adoptions:
General Working Conditions in Shipyard Employment (76 FR 24576–24711, May 2, 2011): The federal
Occupational Safety and Health Administration (OSHA) revised its standards on general working conditions
in shipyard employment. These revisions updated existing requirements to reflect advances in industry
practices and technology, consolidate some general safety and health requirements into a single subpart,
and provide protection from hazards not addressed by existing standards, including the control of
hazardous energy. Federal OSHA’s final rule was effective Aug. 1, 2011, except for the provisions of 29
CFR 1915.89, which became effective and enforceable on Oct. 31, 2011.
General Working Conditions in Shipyard Employment; Correction (76 FR 44265, July 25, 2011): OSHA
made corrections to the final rule described above, effective Aug. 1, 2011. Specifically, language contained
in 29 CFR 1910.145(a)(1) and 29 CFR 1910.147(a)(1)(i) was corrected.
Standards Improvement Project—Phase III (76 FR 33590-33612, June 8, 2011): Phase III of the
Standards Improvement Project (SIP-III) was the third in a series of rulemaking actions to improve and
streamline OSHA standards. The Standards Improvement Project removed or revised individual require-ments
within rules that were confusing, outdated, duplicative, or inconsistent. OSHA identified several
requirements for SIP-III (e.g., rigging, NIOSH records and training certifications) for improvement based
on the agency’s review of its standards, suggestions and comments from the public, or recommendations
from the federal Office of Management and Budget (OMB). OSHA believes that improving these standards
will help employers to better understand their obligations, promote safety and health for employees, lead
to increased compliance, and reduce compliance costs.
Research and Policy Division
The Research and Policy Division’s primary responsibility is collecting information and data for use by the
commissioner of labor. The division develops and implements special programs and projects. The division
also provides staff support to the commissioner and other divisions within the department and helps to
establish and revise policy guidelines. The Individual Development Accounts Program provides assistance
to low-income individuals toward attaining self-sufficiency through homeownership, microenterprise, or
education and training.
Safety and Health Survey Section
The Safety and Health Survey Section of the division collects, reviews, refines and publishes the Survey
of Occupational Injuries and Illnesses (SOII) data for certification to the U.S. Bureau of Labor Statistics.
The data—used by both state and federal departments of labor—provide an accurate measurement of the
work-related injury and illness rates, and demographic and case characteristics data on employees in North
Carolina. The state incidence rate for injuries and illnesses in the private sector was 3.1 for every 100 full-time
employees in 2010, which tied the record low set in 2009 and was below the national average of 3.5.
(See Figure 10.)
40
Administration Division
Figure 10
Occupational Injury and Illness Rate for North Carolina,
Private Sector, Calendar Years 2000 Through 2010
The section also codes, analyzes and publishes statistical data on occupational fatalities in the state to build
the BLS-sponsored Census of Fatal Occupational Injuries (CFOI). The information is obtained from
employers, death certificates, medical examiner reports and other sources. Fatality and injury and illness
information enables NCDOL to better understand how and where accidents are occurring. The figures also
are used to assist those industries with high rates of injuries and fatalities to target safety and health edu-cation
and training where needed. Bureau of Labor Statistics figures (from the Census of Fatal
Occupational Injuries) show that North Carolina suffered 134 workplace deaths in 2010. (See Figure 11.)
Figure 11
Census of Fatal Occupational Injuries Data, Calendar Years 2000 Through 2010
Source: U.S. Bureau of Labor Statistics
Individual Development Accounts Program
The Individual Development Accounts, or IDA, Program is designed to help low-wealth individuals build
financial assets through the startup of new businesses, post-secondary educational investments or the pur-chase
of a home. The program’s use of matched savings accounts, financial literacy training, credit coun-seling
and coaching provides assistance to low-income individuals seeking to attain self-sufficiency.
The Department of Labor continues to play a major role in the IDA movement. The division works in part-nership
with the IDA and Asset Building Collaborative of North Carolina, the N.C. Division of Community
Development, the N.C. Housing Finance Agency, the N.C. Cooperative Extension Service, and EITC
Carolinas to support and increase the number of IDA programs. The NCDOL IDA Program is also a par-ticipant
in the North Carolina Assets Alliance. The alliance educates the public and policymakers about
asset-based strategies that promote economic security and prosperity for all North Carolinians.
The NCDOL IDA Program continues to host training for IDA program sites throughout the state, bringing
in outside speakers as well as involving members of local program staff who are knowledgeable in various
aspects of the program. The training focuses on IDA implementation, best practices, effective outreach and
other critical aspects of program development. This training provides valuable information and serves as a
support network for everyone involved.
According to year-end statistics for 2011, the NCDOL IDA Program consists of 23 sites that serve 46 counties.
Total Graduates From NCDOL IDA Programs
By the end of 2011, a cumulative total of 597 participants had graduated from the IDA Program in home-ownership,
micro-enterprise or post-secondary education. These graduates purchased 527 homes, started
37 businesses and made 33 educational investments. From 1999 through 2011, IDA account holders saved
an aggregate $1,863,999, acquired more than $1,194,000 in matching grant funds, and purchased an esti-mated
$49,295,509 in assets.
41
N.C. Department of Labor 2011 Annual Report
42
Notes
Notes
Fiscal years are designated by the year they end. The state fiscal year begins July 1 and ends June 30. State
Fiscal Year 2010 thus began July 1, 2009, and ended June 30, 2010. The federal fiscal year begins Oct. 1
and ends Sept. 30. Federal Fiscal Year 2010 thus began Oct. 1, 2009, and ended Sept. 30, 2010.
All of the bureaus of the Standards and Inspections Division report data based on the state fiscal year. Most
of the bureaus of the Occupational Safety and Health Division report data based on the federal fiscal year.
The Agricultural Safety and Health Bureau is the exception. It uses the calendar year as the basis for report-ing
its data.
Within the Administration Division, the Budget and Management Division uses the state fiscal year for
reporting its data, while the remaining divisions report data on a calendar year basis.
Reporting Years for NCDOL Divisions and Bureaus
Calendar Year (Jan. 1 through Dec. 31)
Agricultural Safety and Health Bureau
Communications Division, including Publications Bureau and Library
Governmental Affairs Division
Human Resources Division
Information Technology Division
Legal Affairs Division
Research and Policy Division
State Fiscal Year (July 1 through June 30)
Apprenticeship and Training Bureau
Boiler Safety Bureau
Budget and Management Division
Elevator and Amusement Device Bureau
Employment Discrimination Bureau
Mine and Quarry Bureau
Wage and Hour Bureau
Federal Fiscal Year (Oct. 1 through Sept. 30)
Compliance Bureau
Consultative Services Bureau
Education, Training and Technical Assistance Bureau
Planning, Statistics and Information Management Bureau

Historical Note About the Cover
The Labor Building is located on West Edenton Street across from the State Capitol. It was designed in
1885 by architect Gustavus Adolphus Bauer. Bauer also assisted in the design of the Executive Mansion,
which is why the two buildings share similar architectural design features. The building was dedicated on
March 5, 1888, and for the first 25 years housed the Supreme Court and State Library. The red brick build-ing,
once painted gray to blend in with the stone buildings around it, was stripped of the paint in the 1980s
to reveal the true rich color of the original red brick, which was made by prison labor.
The rendering of the building featured on the cover is from a watercolor created by Earle Kluttz Thompson,
an artist from Salisbury. Thompson studied studio art at the University of North Carolina. While a student
at UNC, she interned with muralist Michael Brown, where she learned faux techniques and how to paint
outdoor and indoor murals. Thompson later studied at Lorenzo de Medici in Florence, Italy. She and her
husband live in Raleigh. She and Raines Thompson are partners in Kluttz Thompson Designs.
On Sept. 11, 2001, Labor Commissioner Cherie Berry directed that the American flag be flown over the
Labor Building. When advised that the building had no flagpole, she ordered the immediate printing of
flags to be displayed in every window of the Labor Building. Within days every window of all NCDOL
buildings across the state displayed an American flag. Fittingly, the very first flag was placed in the win-dow
of Commissioner Berry’s office.
Printed 3/12, 80 copies
2011 Annual Report
Contents
Foreword . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . iv
Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Standards and Inspections Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Apprenticeship and Training Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Boiler Safety Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Elevator and Amusement Device Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Employment Discrimination Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11
Mine and Quarry Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12
Wage and Hour Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13
Occupational Safety and Health Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17
Agricultural Safety and Health Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .18
Compliance Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19
Consultative Services Bureau . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22
Education, Training and Technical Assistance Bureau . . . . . . . . . . . . . . . . . . . .23
Planning, Statistics and Information Management Bureau . . . . . . . . . . . . . . . . .25
Administration Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28
Budget and Management Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .29
Communications Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .30
Governmental Affairs Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .31
Human Resources Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .33
Information Technology Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .34
Legal Affairs Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35
Research and Policy Division . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39
iii
N.C. Department of Labor 2011 Annual Report
iv
Foreword
I wish to acknowledge the cooperation of all the fine employees of the various
divisions of the Department of Labor who made possible the many accomplish-ments
and services to the people of North Carolina that are recorded in this report.
The dedication shown by these employees helps make North Carolina a safe and
healthy place to work and live.
Cherie Berry
Commissioner of Labor
Foreword
N.C. Department of Labor
Overview
The N.C. Department of Labor, under Labor Commissioner Cherie Berry,
is charged by law with the responsibility of promoting the health, safety and
general well-being of working North Carolinians. The General Statutes
provide the labor commissioner with broad regulatory and enforcement
powers to achieve that objective.
The labor commissioner is the constitutional officer elected by the people
of North Carolina to a four-year term running concurrently with the gover-nor’s.
Foremost among her duties are the administration and enforcement
of the occupational safety and health standards and working conditions in
industry; wage and hour issues pertaining to maximum work hours and
minimum wage laws; training of apprentices in the skilled trades; educa-tion,
training and consultation on safe and healthy working conditions; and
the administration of inspections for boilers, elevators, amusement rides,
and mines and quarries.
The N.C. Department of Labor’s mission is to foster a safe, healthy, fair and
productive North Carolina by:
• Providing responsive, effective and efficient services
• Providing and encouraging quality education and training
• Administering consistently and fairly our regulatory mandates
• Enhancing public confidence in the Department of Labor
According to state law, the Department of Labor promotes the health, safety and general well-being of
4 million workers at more than 250,000 places of business. The laws and programs the department admin-isters
affect every worker—and virtually every person—in the state.
Department of Labor history dates back to 1887, when the General Assembly created the Bureau of Labor
Statistics. In a reorganization of labor functions in 1931, the General Assembly laid the groundwork for the
department’s transformation into an agency with laws and programs affecting most state citizens.
Departmental divisions and bureaus carry out its principal regulatory, enforcement and informational
programs.
The N.C. Occupational Safety and Health Review Commission operates independently from the depart-ment.
The Review Commission, whose members are appointed by the governor, hears appeals of citations
and penalties imposed by the Occupational Safety and Health Division.
The Department of Labor serves the workplace. Its programs, as well as the information it makes avail-able,
help industry managers, small business owners, and all those who work in North Carolina perform
their work safely.
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N.C. Department of Labor 2011 Annual Report
Labor Commissioner Cherie Berry
Apprenticeship and Training Bureau
The Apprenticeship and Training Bureau promotes and monitors a broad range of apprenticeship programs
that train journeyworker level employees to meet the demand for high-skilled workers. In 2011, more than
7,700 North Carolinians were served in these industry-supported programs. Apprenticeship programs are
sponsored through employers or under joint labor-management committees.
The bureau is also the State Approving Agency for veterans in apprenticeship and on-the-job training
programs. Qualified veterans can receive their GI Bill benefits while they are in training.
Boiler Safety Bureau
The Boiler Safety Bureau enforces the Uniform Boiler and Pressure Vessel Act of North Carolina. The
bureau regulates the construction, installation, repair, alteration, inspection, use and operation of pressure
equipment that falls under the law. The bureau conducts periodic inspections of this pressure equipment
and monitors inspection reports. The bureau maintains records on ownership, location and condition of
working boilers and pressure vessels. It also issues certificates of inspection to boiler and pressure vessel
owners and operators who meet requirements.
Elevator and Amusement Device Bureau
The Elevator and Amusement Device Bureau oversees, except in federal buildings, the installation and safe
operation of elevators, escalators, workman’s hoists, dumbwaiters, moving walks, aerial passenger
tramways, amusement rides, incline railways and lifting devices for people with disabilities. The bureau
also approves plans and applications for equipment that falls under its jurisdiction.
The bureau conducts regular periodic inspections of all ride-operating equipment in the state and provides
technical assistance. The bureau also will review, for architects and builders, plans for proposed elevators
and related equipment.
Employment Discrimination Bureau
The Retaliatory Employment Discrimination Act protects employees who in good faith file or initiate an
inquiry about workers’ compensation claims, an occupational safety and health complaint, or exercise their
rights under certain other state laws. Investigators examine the complaints filed and, if the complaint is
found without merit, issue a right-to-sue letter. If the complaint is found to be valid, the bureau attempts con-ciliation
through informal means before issuing a right-to-sue letter.
Library
The NCDOL Library offers about 12,800 volumes, including 1,400 audiovisual items along with other
electronic resources. The library’s collection includes resources on the various topics regulated by the
department. Videos and DVDs are lent free of charge, excluding return postage.
Mine and Quarry Bureau
The Mine and Quarry Bureau provides education, training and technical assistance on the operation of
mines and quarries. The bureau helps operators to train their employees in safe working procedures. The
bureau has jurisdiction over 379 private sector mines, quarries, and sand and gravel pit operations that
employ more than 4,000 citizens.
The bureau also inspects abandoned surface mines for the protection of the general public, promotes rock-hound
safety, and conducts an explosives safety course for anyone handling or using explosives.
2
Overview
Occupational Safety and Health Division
The Occupational Safety and Health Division administers workplace safety and health laws that apply to
the private sector and all state and local government agencies.
OSH standards parallel the federal OSHA standards. North Carolina currently conducts one of the 22 state-administered
comprehensive OSHA programs in the nation.
The OSH Division conducts about 4,300 inspections a year. The division conducts investigations of
employee complaints, investigations of work-related accidents and deaths, randomly scheduled site inspec-tions,
and special emphasis program inspections. Inspection targeting schedules, inspection files and other
statistical reports are maintained by the Planning, Statistics and Information Management Bureau.
The division offers free services to private and public employers through its Consultative Services Bureau.
It also offers educational and technical assistance through the Education, Training and Technical Assistance
Bureau. Employers may contact the OSH Division to receive free assistance, including standards interpre-tations
or on-site visits.
The Agricultural Safety and Health Bureau enforces the Migrant Housing Act of North Carolina, which
requires the registration and inspection of housing provided to seasonal migrant agricultural workers.
Migrant housing must meet federal standards plus specific standards for hot water, heat, fire protection and
kitchen sanitation. The bureau also conducts OSH compliance inspections in agricultural settings utilizing
OSHA standards when there is employee exposure.
Research and Policy Division
The Safety and Health Survey Section of the Research and Policy Division collects and processes infor-mation
on workplace injuries, illnesses and fatalities for the U.S. Bureau of Labor Statistics. Data collected
by the division include the annual Survey of Occupational Injuries and Illnesses and the Census of Fatal
Occupational Injuries. The Individual Development Accounts Program provides assistance to low-income
individuals toward attaining self-sufficiency through homeownership, micro-enterprise, or education and
training.
Wage and Hour Bureau
The Wage and Hour Bureau enforces laws that cover minimum wage, overtime, wage payment, child labor,
recordkeeping, private personnel services and controlled substance examination. Wage payment provi-sions—
which include the payment of promised wages such as vacation, sick pay or other benefits—cover
all employees except those in federal, state and local government. The bureau investigates worker complaints
and collects back wages owed to employees.
Youth employment certificates are required for all workers under 18 years of age who work in non-agricultural
and nongovernmental jobs. Certificates can be obtained online through the department’s website
and from county departments of social services. Workers in this age group are prohibited from employment
in occupations declared to be hazardous or detrimental to their health and well-being.
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N.C. Department of Labor 2011 Annual Report
The Standards and Inspections Division comprises six bureaus of the N.C. Department of Labor:
Apprenticeship and Training, Boiler Safety, Elevator and Amusement Device, Employment Discrimina -
tion, Mine and Quarry, and Wage and Hour.
Statistical Highlights for State Fiscal Year 2011
Apprenticeship and Training Bureau
• The number of apprentices who completed the program was 1,916.
• The completion rate for registrants who began their training after July 1, 2004, and completed the
program prior to June 30, 2011, was 65 percent.
• The total number served was 7,744 (active apprentices at beginning of year plus new registrations).
• The overall average completion wage rate for all completers was $16.97.
Boiler Safety Bureau
• 51,040 items of pressure equipment were inspected.
• 2,665 violations were identified.
• The average combined state and insurance backlog was 0.71 percent.
• There were no major boiler or pressure vessel accidents in North Carolina.
Elevator and Amusement Device Bureau
• 22,039 new and routine elevator inspections were completed.
• 7,410 amusement devices were inspected at 1,211 locations.
• Patron error continued to be the leading cause of accidents, accounting for 83 percent of the accidents
investigated.
• There were no major elevator or amusement ride accidents in North Carolina.
Employment Discrimination Bureau
• 60 percent of complaints were based on workers’ compensation claims, 28 percent were based on
wage and hour concerns, and 12 percent were based on safety and health concerns.
• 707 complaints were received and 731 investigations were completed.
Mine and Quarry Bureau
• Conducted 592 on-site training programs and trained 5,552 miners and contractors.
• The injury and illness rate of the North Carolina minerals industry was 2.44.
Wage and Hour Bureau
• Recovered more than $1.8 million in wages for 2,594 workers.
• Opened 5,190 investigations and closed 4,637 investigations.
• Issued 48,161 youth employment certificates.
• Completed investigation of 145 youth employment complaints.
• Contacted every employer within two working days from the time a complaint was filed.
4
Standards and Inspections Division
Standards and Inspections Division
Apprenticeship and Training Bureau
The Apprenticeship and Training Bureau is the North Carolina administrator of the National Apprentice -
ship Act of 1937. The bureau approves apprenticeship programs, maintains records and issues certificates
to apprentices who complete apprenticeship training.
The bureau’s primary roles, working through its consultants, are to promote and develop new apprentice-ship
programs among employers, to service existing programs, and to certify completers.
In North Carolina, apprenticeship is a voluntary system of employee training combining on-the-job learn-ing
and related instruction to form a quality training system for employers throughout the state. The
apprentice learning a trade is taught by a skilled journeyworker.
Apprenticeship programs, which generally take three years to four years to complete, are established in 925
occupations in North Carolina. Wages usually begin at about half the journeyworker rate, but never below
minimum wage, and rise as the apprentice progresses through the program, gaining skill and competence.
Data for the bureau are reported for the state fiscal year (July 1 through June 30).
Highlights From Fiscal Year 2011
• The total number of new registrations was 2,005.
• The number of completions from the apprenticeship program was 1,916.
• The total number served was 7,744 (active apprentices at beginning of year plus new registrations).
• The completion rate for registrants who began their training after July 1, 2004, and completed the pro-gram
prior to June 30, 2011, is 65 percent. This completion rate is determined by apprentices entering
the program who completed both the on-the-job learning and related classroom instruction training.
• During this period, 16,608 registrants completed all requirements of the program, while 8,956
canceled out of the program prior to successful completion.
• The overall average completion wage rate for all completers was $16.97.
State Approving Agency (SAA) for Veterans Affairs
The bureau contracted with the U.S. Department of Veterans Affairs in October 2004 to become the State
Approving Agency for GI Bill benefits to eligible veterans training in on-the-job learning and apprentice -
ship. The bureau approved 70 new apprenticeship and on-the-job learning programs and submitted them to
the VA for approval.
At the end of FY 2011, 437 eligible veterans in North Carolina indicated that they planned to draw GI Bill
benefits through apprenticeship and on-the-job learning. These benefits are tax-free dollars that go directly
to the veterans through their participation in apprenticeship training and on-the-job learning programs.
Incarcerated Apprentices
According to the N.C. Department of Correction, one of the most important factors affecting the success
of ex-offenders is their ability to get hired and hold a steady job. An ex-offender who is gainfully employed
is three times less likely to commit another crime.
Statewide efforts are underway through a joint partnership between the N.C. Department of Correction and
N.C. Department of Labor to enhance and grow this opportunity in those facilities involved with appren-ticeship
or on-the-job learning.
Developing a program for inmates who are receiving training in apprenticeship occupations continues to
grow as the need to provide this type of training and credential becomes more apparent. To date, the bureau
has registered 1,885 inmates in 24 different apprenticeship and on-the-job learning programs. There were
269 inmates active in Department of Correction apprenticeships at the end of FY 2011.
5
N.C. Department of Labor 2011 Annual Report
Construction Apprentice Contests at the N.C. State Fair
Apprentice contests in bricklaying, electrical, plumbing and pipefitting, and HV/AC-R were held at the
N.C. State Fair. Registered apprentices from across the state competed with other apprentices in the
contests. The bureau held a carpentry contest with a two-person team format for high school students in
construction trades. Each contest has a committee made up of apprenticeship sponsors who assist in the
development of the contests and assist in recruiting other sponsors to participate along with recruiting the
materials needed for the contests.
In addition, the bureau helped organize the Fourth Annual Lineman’s Rodeo, which was held in May at the
State Fairgrounds during the Got to Be N.C. Festival. The Lineman’s Rodeo showcased the occupation and
helped recruit new employees to the trade.
USDOL Implementation Grant
On Dec. 30, 2008, the U.S. Department of Labor put into effect revisions to the federal rules governing
apprenticeship to align the national apprenticeship system with the tools and flexibility needed for the 21st
century global economy. USDOL also provided the NCDOL Apprenticeship and Training Bureau with a
grant. The NCDOL Apprenticeship Modernization and Dislocated Worker Assistance Project has:
• Worked toward developing strong partnerships to integrate apprenticeship and preapprenticeship pro-grams
in emerging industries such as biotechnology, healthcare and logistics.
• Modified a new Web-based application for new reporting requirements and changes resulting from
implementing new federal regulations.
• Funded a statewide apprenticeship conference that took place in Greensboro in April. The theme of
the conference was “Earn While You Learn: Developing Skills for North Carolina’s Workforce.” The
conference included workshops, exhibits and recognition awards.
6
Standards and Inspections Division
Labor Commissioner Cherie Berry congratulates Hunter Livingston
and Ray Croon for winning the 25th Annual Carpentry Contest at the
N.C. State Fair. The bureau held the contest for two-person teams of
high school students in the construction trades.
Boiler Safety Bureau
During state fiscal year 2011, the Boiler Safety Bureau employed 14 field inspectors, two field supervisors,
five administrative staff and two senior staff to support more than 50,000 inspections. State inspectors,
along with 12 insurance company partners, conducted in-service inspections on boilers, antique boilers,
model/hobby boilers, various types of pressure vessels, repair inspections, and pressure equipment acci-dent
investigations. The Boiler Safety Bureau is a receipt-supported bureau; the fees collected pay for the
operation of the bureau and the salaries of the bureau staff.
Commissioned inspectors conducted third-party authorized inspector duties at companies where boilers
and pressure vessels are manufactured. The bureau’s support staff processed and conducted quality control
functions on all inspection reports received by hard copy or electronically.
Highlights From Fiscal Year 2011
• 51,040 inspections were conducted.
• 2,665 violations were identified.
• 2,264 new items were inspected.
• There were no major boiler or pressure vessel accidents in North Carolina.
Programs
Periodic inspection continues to be the primary focus of the Boiler Safety Bureau. The bureau also pro-vides
education and promotes voluntary safety. The bureau’s inspection program for boilers and pressure
vessels covers a wide array of businesses and industries. Table 1 shows the number of inspections and
violations for FY 2006 through FY 2011.
7
N.C. Department of Labor 2011 Annual Report
The bureau’s boiler and pressure vessel inspectors gather with Commissioner Berry
during a staff training session in Raleigh.
Table 1
Number of Inspections and Violations, FY 2006 Through FY 2011
2006 52,061 1,699
2007 50,537 1,714
2008 50,286 1,499
2009 52,233 2,794
2010 51,288 2,073
2011 51,040 2,665
Backlogs
Any inspection program can have a backlog of items past-due for inspection. The combined average per-centage
of state objects and insurance objects was 0.71 in FY 2011, one of the lowest backlog rates among
states inspecting boilers and pressure vessels.
Additional Work
In addition to the inspections of equipment in businesses and institutions throughout the state, inspectors
with special training and endorsements carried out ASME Boiler and Pressure Vessel Code third-party
inspections in manufacturing facilities that construct boilers and pressure vessels as well as pressure equip-ment
repair firms known as National Board “R” Stamp holders.
The bureau’s support staff entered the collected data from hard copy reports into the data system and con-ducted
quality reviews of the data entered directly by inspectors. They printed and mailed invoices and
certificates and answered many questions from inspectors and the public.
Elevator and Amusement Device Bureau
The Elevator and Amusement Device Bureau is responsible for the proper installation and safe operation
of all elevators, escalators, workman’s hoists, dumbwaiters, moving walks, aerial passenger tramways,
amusement rides, incline railways, and lifting devices for persons with disabilities that operate in public
establishments (except federal buildings) and private places of employment. It also inspects all of the
amusement devices each and every time they are set up for operation in the state. The bureau inspects all
inflatable amusement devices and portable rock walls. The bureau conducted 22,039 routine and new ele-vator
inspections as well as 7,410 amusement devices at 1,211 locations.
Highlights From Fiscal Year 2011
• A total of 21,192 routine inspections and 847 new elevator inspections were completed.
• The bureau inspected 7,410 amusement devices at 1,211 locations.
• Patron error continued to be the leading cause of accidents, accounting for 83 percent of the accidents
investigated.
• There were 63 elevator accidents/incidents investigated, of which 48 were reportable. Only 11 of those
accidents/incidents were related to a mechanical error, while the other 52 were due to patron error.
• Of the hundreds of thousands riding amusement rides, there were only 25 accidents/incidents inves-tigated.
Four of these were mechanically related errors, while the other 21 were due to patron error.
8
Standards and Inspections Division
Elevator Inspections
Inspections of elevators, dumbwaiters, escalators and handicapped lifts consist of routine inspections of
existing devices and new inspections. As shown in Figure 1, the number of routine inspections increased
from the previous fiscal year, while the number of new inspections decreased.
Figure 1
Routine Inspections and New Inspections, FY 2008 Through FY 2011
9
N.C. Department of Labor 2011 Annual Report
Amusement Device Inspections
Amusement device inspections consist of mechanical rides, inflatable rides, go-karts, rock-climbing walls,
etc. Tramways and ski lifts are included in this inspection category but excluded from the reported data.
The Elevator and Amusement Device Bureau continued the Rider Safety Program with the theme of
“Measure Up to Safety.” While mechanical rides at permanent parks are inspected once annually, mechan-ical
rides with traveling amusement companies are inspected every time they are set up for operation at
fairs, festivals, carnivals and other amusement events. The bureau also conducts operational inspections at
least once during the operating season for permanent parks and at least once during the operation at a trav-eling
show. The bureau inspects all inflatable amusement devices and portable rock walls that operate in
the state on an annual basis.
Figure 2 indicates the total number of amusement devices inspected in FY 2007 through FY 2011. The
number of individual amusement rides inspected increased 2.9 percent from FY 2010 to FY 2011 and has
increased 32 percent from FY 2007 to FY 2011.
Accident or Incident Investigations
Accident investigations are conducted according to N.C. Gen. Stat. § 95-110.9. Reports required.
(a) The owner of any device or equipment regulated under the provisions of this Article, or his authorized
agent, shall within 24 hours notify the Commissioner of each and every occurrence involving such device or
equipment when:
Figure 2
Number of Amusement Rides Inspected, FY 2007 Through FY 2011
10
Standards and Inspections Division
(1) The occurrence results in death or injury requiring medical treatment, other than first aid, by a physician.
First aid means the one time treatment or observation of scratches, cuts not requiring stitches, burns, splin-ters
and contusions or a diagnostic procedure, including examination and x-rays, which does not ordinarily
require medical treatment even though provided by a physician or other licensed personnel; or
(2) The occurrence results in damage to the device indicating a substantial defect in design, mechanics,
structure or equipment, affecting the future safe operation of the device. No reporting is required in the
case of normal wear and tear. The owner of the equipment is required to contact the Bureau.
An inspector is sent to the location and completes a report that is kept on file. As Table 2 reflects, the total
number of accident investigations increased in FY 2011. Patron error continues to be the leading cause of
both elevator and amusement ride accidents.
Table 2
Number of Elevator and Amusement Device Accidents, FY 2007 Through FY 2011
Patron Mechanical Reportable Non- Patron Mechanical Reportable Non-
Error Error Reportable Error Error Reportable
FY 2007 20 9 10 19 7 5 6 6
FY 2008 25 5 7 23 9 3 6 6
FY 2009 31 5 32 4 10 0 8 2
FY 2010 32 9 32 9 14 5 16 3
FY 2011 52 11 48 15 21 4 22 3
Employment Discrimination Bureau
The Employment Discrimination Bureau enforces the Retaliatory Employment Discrimination Act. The law
was enacted in 1992 following the disastrous plant fire at Imperial Foods in Hamlet. REDA incorporated
whistleblower protections from the Wage and Hour and the Occupational Safety and Health acts. Additional
provisions protect workers’ compen sation claimants, hemoglobin C and sickle cell carriers, and those subject
to genetic testing, National Guard service and involvement in the juvenile justice system. In 2004 protection
was added for employees seeking relief from domestic violence. In 2008 protection was added for employ-ees
who have made complaints under the pesticide regulation statutes. In 2009 protection was added for
employees reporting activities of their employers under the Paraphernalia Control Act.
The bureau receives oversight from the federal Occupational Safety and Health Administration under a
contract that requires the bureau to be “as effective as” the federal agency in enforcing the occupational
safety and health whistleblower protections of REDA.
In FY 2011, the percentage of complaints based on workers’ compensation claims increased to 60 percent,
while those based on safety and health concerns decreased to 12 percent, and those based on wage and hour
matters increased to 28 percent. The remaining complaints fell under other laws enforced by the bureau. (See
Table 3.) The bureau received 707 complaints, a decrease of 11 percent over FY 2010. (See Figure 3.) The
emphasis on early resolution and settlement of complaints was again a major factor in the bureau’s
operations in FY 2011. The bureau continued to contact both the complainant (employee) and the respondent
(employer) within 15 days of receiving the complaint. The bureau continued to intervene early in the inves-tigation
process, bringing the complaint to a quicker conclusion. The bureau was able to settle 75 of the
731 cases closed in FY 2011.
In FY 2011, 76.6 percent of the complainants were given a right-to-sue letter, 10.3 percent of the cases
were settled, 2.3 percent were found to have merit, 2.6 percent of cases were withdrawn by complainants,
1.9 percent of cases were closed when the complainant failed to respond, 1.8 percent of complaints came
after the statute of limitations, 0.1 percent were referred to other agencies, and 2.9 percent were closed
administratively. In the remaining 1.6 percent of cases, the bureau did not make a determination within 180
days of the filing, and the complainant was granted a right-to-sue letter.
11
N.C. Department of Labor 2011 Annual Report
Figure 3
Employment Discrimination Complaints Received and Completed, FY 2008 Through FY 2011
12
Standards and Inspections Division
Mine and Quarry Bureau
The Mine and Quarry Bureau is one of the earliest established units of the N.C. Department of Labor, having
administered state mining laws since 1897. The bureau administers laws concerning the operation and
inspection of mines and quarries. Bureau staff consists of a bureau chief, an office assistant, and four mine
safety and health field representatives.
Highlights From Fiscal Year 2011
• Continued a Mine Safety and Health Supervisory Training Seminar. Upon completion of the seminar,
students are able to verify operational compliance with federal and state mine law and standards
through use of pertinent government publications; reduce accidents and citations caused by non-compliance
issues; promote the general health and safety of their operations; and understand the
importance of the “safe production” process in building a lasting safety culture.
• Conducted N.C. Mine Safety and Health Eastern and Western Seminars in Raleigh and Morganton.
• Conducted 233 inspections and evaluations of active and abandoned mines.
• The number of miners and contractors trained was 5,552.
• Conducted 592 on-site education and training programs.
• The injury and illness rate of the North Carolina minerals industry was 2.44. Rates on injury
occurrence are developed on the basis of 200,000 hours of employee exposure (equivalent to 100
employees working 40 hours per week for 50 weeks per year).
The Mine and Quarry Bureau continues to provide a wide assortment of mine safety and health services
such as complete safety evaluations of the workplace, consultations, technical assistance, education and
training, health surveys, safety meetings, investigations, and training plan assistance. Instructor fundamentals,
explosives safety, health and safety laws, and supervisory training are offered through the Mine and Quarry
Bureau’s seminars and institutes. (See Table 4.)
Table 4
Mine and Quarry Training and Inspection Activities, FY 2007 Through FY 2011
Number of Mine Safety and
Health Instructors Trained 27 56 18 60 72
Number of People Trained in
Explosives Safety 66 139 170 164 79
Total Number of Inspections
and Evaluations Conducted 464 506 504 448 233
Number of Education and Training
Programs Provided 562 525 529 531 592
Number of Miners and
Contractors Trained 7,856 8,895 7,161 5,801 5,552
Table 3
Number of Complaints by Type, FY 2009 Through FY 2011
2009 495 182 84 17
2010 464 210 114 6
2011 425 189 87 6
Wage and Hour Bureau
The Wage and Hour Bureau administers the N.C. Wage and Hour Act, which includes the minimum wage,
overtime pay and wage payment (promised wages including wage benefits, such as vacation pay, sick
leave, holiday pay, and bonuses and commissions). The bureau ensures employers make, keep and preserve
records of hours worked, wages paid, and other conditions and practices of employment necessary for the
enforcement of wage and hour laws.
The bureau issues youth employment certificates to protect the health and safety of minors and to pre-serve
young workers’ rights. The bureau also enforces the statutes that regulate the licensure and
reporting requirements of private personnel service and job listing service agencies and the Controlled
Substance Examination Regulation Act. The bureau is also responsible for the department’s toll-free
telephone system. Bureau staff consists of an administrator, a deputy administrator, three supervisors, an
office manager, 19 investigators, and seven information specialists.
Highlights From Fiscal Year 2011
• Answered 87 percent of all calls placed to the call center (1-800-NC-LABOR) on the first attempt.
• Contacted every employer within two working days from the time a complaint was filed.
• Resolved 96.5 percent of 4,637 closed investigations; 76 percent were based on factual evidence
obtained from one or both parties.
• Recovered wages exceeding $1.8 million for 2,594 workers without litigation.
• Completed investigation of 145 complaints involving youth employment.
• Completed 334 noncomplaint investigations involving youth employment issues or training.
Call Center
The bureau’s call center is staffed by seven public information assistants who are the first point of contact
to the Department of Labor for most customers. Their primary job duties are to gather information relative
to alleged violations of laws enforced by the bureau and to enter appropriate data into an electronic data-base
that is used for assignment and tracking of complaints received. Additionally, they refer callers to
other sections within the department, other state or federal agencies, or civic/charitable organizations that
may provide assistance.
Call centers are often characterized as “high volume” centers, and the numbers in Table 5 certainly speak
to this. Three of the seven public information assistants are bilingual and provide assistance to callers who
speak Spanish. They also assist investigators and other departmental employees with their Spanish skills
as the need arises.
Table 5
Wage and Hour Call Center Activity, FY 2004 Through FY 2011
2004 83,023 78,448 94.5
2005 98,486 93,344 94.8
2006 97,351 88,862 91.3
2007 96,881 91,312 94.3
2008 103,159 93,451 90.6
2009 94,795 87,045 91.8
2010 91,792 84,070 91.6
2011 74,816 65,193 87.1
13
N.C. Department of Labor 2011 Annual Report
Wage and Hour Investigations
The majority of the bureau’s investigations are based on employee complaints. The bureau also conducts non-complaint
investigations and industry-specific investigations to determine compliance with assigned laws.
The data in Figure 4 indicate that the majority (90.3 percent) of the investigations closed during FY 2011 were
wage payment claims. These claims include such things as vacation/sick pay, bonuses, commissions, holiday
pay, and the like. Minimum wage claims accounted for 3.5 percent of investigations closed; overtime
accounted for 3.1 percent; and other (i.e., youth employment, recordkeeping, controlled substance and private
personnel) also accounted for 3.1 percent.
Table 6 compares the bureau’s performance with previous years. The inventory of open investigations
increased from 827 at the end of FY 2010 to 1,380 at the end of FY 2011.
From the complainants’ perspective, the most important aspect of the bureau’s job is the recovery of unpaid
wages. The bureau was able to recover and distribute more than $1.8 million for the citizens of the state
without litigation expenses. (See Figure 5.) The total does not include the $72,922 collected by the Legal Affairs
Division. More than $1.5 million of the nearly $4.7 million found due was uncollectable due to bankruptcy.
Table 6
Wage and Hour Investigations Opened and Investigations Closed, FY 2002 Through FY 2011
2002 5,218 5,281
2003 4,556 4,684
2004 4,971 4,890
2005 5,537 5,384
2006 6,425 5,331
2007 4,974 5,588
2008 6,133 6,077
2009 4,917 4,501
2010 5,647 6,559
2011 5,190 4,637
Youth Employment Certificates
Protecting young workers from inappropriate or unsafe jobs is the cornerstone of the Youth Employment
Certificates program. The timely review of certificates issued continues to be a key element in our efforts to pro-tect
young workers. The data in Figure 6 indicate that 48,161 youth employment certificates (work permits)
were issued in FY 2011, a 4.3 percent increase from the previous fiscal year. The figure also indicates that 70.9
percent of all certificates issued during FY 2011 were issued through the online system. Certificates issued
online provide immediate feedback to employers and applicants when the age and proposed job place the
employer in jeopardy of compliance with state or federal child labor laws. Additionally, online issued certifi-cates
are reviewed the next business day, whereas the review of certificates issued by the Department of Social
Services and designees may lag by five to six months.
Bureau staff completed investigations of all 145 complaints involving youth employment received during
FY 2011 as well as 189 noncomplaint investigations involving youth employment provisions of the act.
14
Standards and Inspections Division
15
N.C. Department of Labor 2011 Annual Report
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Figure 4
Types of Wage and Hour Investigations Closed, FY 2011
Figure 5
Wage and Hour Assessments and Collections, FY 2004 Through FY 2011
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16
Standards and Inspections Division
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Figure 6
Youth Employment Certificates Issued, FY 2008 Through FY 2011
17
N.C. Department of Labor 2011 Annual Report
Occupational Safety and Health Division
The Occupational Safety and Health Division comprises five bureaus of the N.C. Department of Labor:
Agricultural Safety and Health; Compliance; Consultative Services; Education, Training and Technical
Assistance; and Planning, Statistics and Information Management.
Statistical Highlights for 2011
Agricultural Safety and Health Bureau
• The ASH Bureau completed 1,349 preoccupancy housing inspections of migrant farmworker housing
and issued certificates to 1,374 sites.
• The bureau completed filming its workplace training DVD on Migrant Housing Act standards in time
for the 2012 growing season.
• The bureau conducted 89 compliance inspections and issued 174 violations, with total current penalties
amounting to $127,360.
Compliance Bureau
• Compliance conducted 2,790 safety inspections and 1,486 health inspections, for a total of 4,276
compliance inspections.
• Compliance issued citations for 9,742 violations, with total current penalties amounting to
$6,417,852.
Consultative Services Bureau
• The bureau conducted 775 safety visits and 498 health visits, for a total of 1,273 consultative visits.
• Hazards identified and eliminated as a result of consultative visits totaled 6,783. Of these, 5,496 were
serious hazards, and 1,287 were other-than-serious hazards.
• The Safety Awards Program celebrated its 65th year, awarding 2,722 annual and 98 million-hour safety
awards.
• The bureau recognized eight new Star sites and recertified 43 Star sites. There were 137 companies
in the Star Program at the end of the fiscal year.
Education, Training and Technical Assistance Bureau
• The ETTA Bureau conducted nearly 300 courses, forums and workshops, providing training for more
than 7,400 employers and employees.
• The bureau distributed 48,120 hard copy publications.
Planning, Statistics and Information Management Bureau
• The PSIM Bureau completed the Public Sector Survey for calendar year 2010 with a 99.9 percent
response rate and a 100 percent clean rate.
• The bureau received 641 disclosure requests and processed 587 requests.
18
Occupational Safety and Health Division
Agricultural Safety and Health Bureau
Inspection Effort
In 2011, the ASH Bureau completed 1,349 preoccupancy housing inspections of migrant farmworker hous-ing
and 89 compliance inspections. Certificates were issued to 1,374 sites with total occupancy (beds) of
15,844. Sites in 100 percent compliance at time of inspection are 874 operated by 532 growers. Gold Star
status received by 198 growers.
Gold Star Growers
The 17th Annual Gold Star recognition program was held in Raleigh at the N.C. State Fairgrounds on Feb.
2, 2011. The keynote speaker, Dr. Blake Brown of NCSU, presented economic variables impacting the
agricultural industry in North Carolina. One hundred Double Gold Star Growers were nominated, and an
additional 102 were invited as recipients of a single Gold Star. Growers received Gold Star designation
because they were in full compliance at the time of their preoccupancy inspection, had registered 45 days
prior to occupancy, had requested water and septic checks from the local health department, and had
demonstrated a willingness to continually improve housing conditions. The Most Improved Housing
Award was presented to R.H. Byrd Jr. The Outstanding Double Gold Star Grower Award was presented to
Kenneth Fann. An award for best new construction was presented to David Hopkins. The Ron Hudler
Workplace Safety Training Award, created in honor of the memory of Christmas tree grower Ron Hudler,
former chairman of the Agricultural Safety and Health Council, was presented by his son, Dale Hudler, to
Ricky and Trellis Lasley, who operate a tobacco farm in the Reidsville area.
Compliance
ASH inspectors conducted 89 compliance inspections in calendar year 2011. These inspections included
13 accidents, 12 complaints, 44 referrals, 17 unprogrammed related and three programmed inspections that
focused primarily on field sanitation compliance. The bureau issued 174 violations. During this period 19
percent of the inspections resulted in no citations. Total penalties for current citations issued amounted to
$127,360. In addition, a number of unregistered, uncertified camps were discovered during 2011.
Workplace Safety Training and Outreach
During the summer months, ASH conducted a number outreach/training sessions for migrant farm workers
on North Carolina. farms. On May 24, 2011, a half-day on-site safety training workshop involving five
topic-specific training stations was held on Tull Hill Farms, hosted by Jimmy Hill, who invited farmers and
farmworkers from nearby farms to
attend. Training included prevention of
heat stress, heat stroke, DOL housing
regulations, tobacco harvester safety, and
tobacco baler safety. In June, a similar
meeting was held on a Christmas tree
farm and focused on safety concerning
machinery used in that occupation. On
June 28, training for 200 was held at
Scott Farms, a large tobacco operation.
At the Scott Farm training, an NCDOL
employee provided CPR and Red Cross
training for 25 of the attendees. The
bureau held a meeting for farm labor con-tractors
Aug. 23. Training focused on
ASH inspector Lauren Norton teaches a group about safe
work practices during a training session.
19
N.C. Department of Labor 2011 Annual Report
farm labor contractor responsibilities. Training at Berry Nursery, formerly Zelenka Nursery, was conducted
on Sept. 30.
Inspector/Staff Training
Inspectors and staff attended numerous in-house training classes, including: the OSH 100 (refresher); 1928
standards; human trafficking conducted by Raleigh Police; and TB Prevention.
Workplace Training DVD Completed
The DVD on the Migrant Housing Act housing standards was completed in time for the 2012 growing season.
This most recent training DVD features eight growers across North Carolina whose migrant housing
exceeds the standards in the act. The DVD also lists the basic requirements of the act. As with all previous
DVDs, this latest DVD is in Spanish and in English. It will be mailed to all registered growers in the state.
Partnerships, Associations and Collaborations With Groups
The ASH Bureau continues to strengthen partnerships and associations with other groups, such as NCSU
cooperative extension agents, the ECU Agromedicine program, and the Office of Rural Health. ASH per-sonnel
conducted training at the tobacco grower meetings sponsored by Reynolds Tobacco and Phillip
Morris; the National Christmas Tree Grower Association meeting; N.C. Agricultural Extension meetings
in Pasquotank County; and a number of other grower organizational meetings during 2011. ASH staff also
collaborated with the National Institute for Occupational Safety and Health concerning information on the
personal protective equipment surveillance in the agriculture program.
Compliance Bureau
Occupational Safety and Health (OSH) Compliance ensures compliance with occupational safety and
health laws, rules and regulations; and employee protection in workplaces throughout North Carolina
through the use of professional industrial hygiene, safety engineering, administrative, training and techni-cal
services provided to all employers within the state of North Carolina. OSH Compliance identifies and
analyzes workplace accidents, injuries and occupational illnesses; evaluates workplace safety methods,
policies, procedures and programs; communicates workplace safety information to employees and employ-ers;
measures, analyzes and evaluates the effectiveness of safety programs, as well as affecting changes to
programs to achieve optimum results in the various workplaces throughout North Carolina. The compli-ance
activities are directly associated with the OSH Division’s strategic plan. The data are reported on a
federal fiscal year basis (Oct. 1 through Sept. 30).
FY 2011 compliance activities included:
• 4,276 compliance inspections (See Figure 7.)
• 2,790 safety inspections
• 1,486 health inspections
• 1,812 construction inspections
• 9,742 total violations
• 3.7 average number of violations per inspection
• $6,417,852 in penalties assessed
• 22.9 average lapsed days from inspection date to when citations were issued
• 1,108 informal conferences conducted
• 6,643 serious hazards abated
• 1,637 employer safety and health program improvements
• 72 inspections associated with the Tree Felling Special Emphasis Program
• 1,098 inspections in the Construction Special Emphasis Program counties
• 127 inspections in long-term care facilities
• 236 inspections associated with the Health Hazards Exposure Special Emphasis Program
• 191 site-specific targeting special emphasis-related inspections
• 162 inspections associated with the public sector
• 31 compliance interventions (includes speeches, training programs and program assistance)
• 118 accident investigations
• 784 complaint inspections
• 354 safety and health referrals inspections/investigations
• 106 employment discrimination investigations associated with occupational safety and health
Figure 7 depicts the total number of compliance inspections conducted in North Carolina for federal fiscal
years 2002 through 2011. Budgetary constraints in FY 2010 and FY 2011 had a direct impact on the number
of compliance inspection activities that could be performed. In addition to inspection/investigation activity,
OSH Compliance provides technical assistance and outreach training to as many employers and employees
as resources will permit.
Several tools, in addition to the statewide injury and illness rates, are used to monitor inspection quality
and operational efficiency. Figure 8 represents the total recordable case rate per 100 full-time public and
private sector North Carolina workers. Internal case file audits, field audits, employer/employee feedback
and informal conferences are some of the tools used to measure quality and consistency of the statewide
work product.
Figure 7
Number of Compliance Inspections, FY 2002 Through FY 2011
20
Occupational Safety and Health Division
21
N.C. Department of Labor 2011 Annual Report
Figure 8
Occupational Injury and Illness Rate for North Carolina,
Public and Private Sectors, Calendar Years 2001 Through 2010
Source: U.S. Bureau of Labor Statistics
Additional significant activities that occurred in OSH Compliance or involved OSH Compliance participa-tion
during FY 2011 include the following:
• Twelve chapter revisions to the state’s Field Operations Manual were submitted as state plan changes.
They were mostly related to compliance programming and conducting inspections.
• The Compliance Bureaus provided about 400 hours of outreach activity and logged 6,000 miles in
response to the Hurricane Irene recovery efforts.
• Partnerships were initiated on a roadway construction project in Raleigh and a bridge construction
project near Salisbury.
• OSH Assistant Director Kevin Beauregard appeared before Congress in June 2011 and testified at a
hearing on behalf of the Occupational Safety and Health State Plan Association. The hearing per-tained
to the state plan monitoring process and compliance oversight.
• A five-year statistical analysis completed by Planning, Statistics and Information Management
(PSIM) and ending in FY 2010 documented a 44.57 percent DART rate reduction for employers par-ticipating
in the Compliance Site-Specific Targeting Program reflecting 834 establishments.
• A Compliance led committee refined the OSH penalty collection process and was successful at signifi-cantly
reducing the total balance of outstanding penalties. The process has been streamlined and cases are
being closed in a timelier manner.
Kevin Beauregard (far right) testifying before
the House Committee on Education and the
Workforce in Washington, D.C.
22
Occupational Safety and Health Division
• OSH Compliance initiated activity to replace the OSHA Information System (OIS) with a state-specific
system. The existing federal system and proposed new federal system do not have sufficient design
functions to meet state needs. A new software and hardware design will replace the existing system and
will serve as the main database collection and retrieval system for all OSH programs.
• The Compliance Bureau’s quality program resulted in numerous improvements to operating procedures
and policies. The Field Operations Manual (FOM), numerous Operational Procedure Notices, and other
policies and procedures were modified in an effort to continually improve the process, service and end
product of the compliance group.
• OSH Compliance continued its homeland security and emergency preparedness efforts through involve-ment
with local emergency planning committees (LEPCs), the State Emergency Response Commission
and federal agencies.
• N.C. Department of Labor, Balfour Beatty Construction Co. and D.H. Griffin celebrated a successful com-pletion
of the safety partnership to construct the new Guilford County Detention Center. The partnership
agreement emphasized a desire to work cooperatively towards reducing Injuries and illnesses.
Consultative Services Bureau
The Consultative Services Bureau continued to provide services to the employers and employees in both
the private and public sectors during federal fiscal year 2011. The bureau conducted 1,273 total consultative
visits. (See Table 7.)
• 775 (61 percent) safety visits; 498 (39 percent) health visits.
• 1,091 (86 percent) initial visits; 102 (8 percent) training/assistance visits; 80 (6 percent) follow-up visits.
• 1,062 (83 percent) private sector visits; 211 (17 percent) public sector visits.
• 365 (29 percent) manufacturing visits; 191 (15 percent) construction visits; 506 (39 percent) other
type visits; 211 (17 percent) public sector visits.
OSH Division employees join Labor Commissioner Cherie Berry and employees of Balfour
Beatty Construction Co. and D.H. Griffin in celebrating the successful completion of the con-struction
safety partnership for the building of the new Guilford County Detention Center.
23
N.C. Department of Labor 2011 Annual Report
• Hazards identified and eliminated as a result of consultative visits totaled 6,783. Of these, 5,496 (81
percent) were serious hazards, and 1,287 (19 percent) were other-than-serious hazards.
In FY 2011, consultants also conducted 632 safety and health interventions, which included speeches, train-ing
programs, program assistance, interpretations, conference/seminars, outreach and other interventions.
Table 7
Consultative Services Bureau Program, FY 2008 Through FY 2011
Comparisons FY 2008 FY 2009 FY 2010 FY 2011
Total Visits by Category
Safety 774 783 797 775
Health 384 403 416 498
Total Visits by Type
Initial 994 1,041 1,047 1,091
Training and Assistance 102 69 79 102
Follow-up 62 76 87 80
Total Visits by Industry Type
Manufacturing 366 345 393 365
Construction 322 269 254 191
Other 279 375 341 506
Public Sector 191 197 225 211
Total Visits
The Safety Awards Program celebrated its 65th year with another successful season. The Gold Award was
presented to employer sites with a total lost workday case rate (lost and restricted workdays included) at least
50 percent below the state average for its industry. The Silver Award went to employer sites with a lost work-day
rate at least 50 percent below the state average. This year 30 safety award banquets were held, with a
total of 3,200 in attendance. The program distributed 2,722 annual awards and 98 million-hour awards.
North Carolina is still ranked No. 1 as a state plan state and is ranked second of all states that participate
in the VPP/Star Program. The recognition programs also enjoyed another year of growth and success. Eight
new Star sites were recognized, 43 Star sites were recertified, and 107 first-time Star interventions were
conducted. There were 137 companies in the Star Programs at the end of FY 2011.
The Consultative Services Bureau continues to reach small employers and encourage participation in the
Safety and Health Achievement Recognition Program. In FY 2011, the bureau recognized 50 SHARP-related
worksites. There are currently 105 SHARP-related worksites.
Education, Training and Technical Assistance Bureau
FY 2011 Accomplishments
The ETTA Bureau continued to focus on increasing efficiency and effectiveness in providing outreach
training to workers in high-risk industries and affirming its role to ensure adherence to terms of agreement
for partnerships and alliances. The work of the bureau included rulemaking, publications, partnerships,
alliances, training and outreach.
Publications
New publications developed during 2011 included industry guides for occupational exposure to isocyanates
and hexavalent chromium and a new logging safety supplemental booklet. New hazard alerts developed
24
Occupational Safety and Health Division
included scissor lifts, excavation and trenching dangers, heat stress and working in hot conditions, marina
safety, and pyrotechnics. One Spanish quick card was developed for excavation and trenching safety. Two
fact sheets on rigging, cranes and derricks were published and posted to the NCDOL website.
To provide more outreach toward employers in our special emphasis programs, the bureau started devel-opment
of industry guides that are safety and health management program focused and are continuing to
expand the new health hazard series with an industry guide on silica in development. During 2011, the
bureau distributed 48,120 OSH publications. Sales and distributions assisted 13,045 customers as part of
outreach services and activities.
The bureau expanded its Web-based A–Z topics list, delivering more training information and materials
through the NCDOL website. The list covers many safety and health topics with links to in-depth informa-tion,
including training resources and publications such as sample programs, applicable standards, operating
documents and other agency resources.
Rulemaking
The Standards Section served the public by answering 5,146 inquiries for interpretations by phone or written
correspondence. Additional work included review and update of most Field Operations Manual chapters,
memorandum of understanding with other state agencies, and industrial data reports.
The Standards Section adopted the Standards Improvement Project phase III and Shipyards—General
Working Conditions, which became effective in October 2011 in North Carolina. Compliance directives
for personal protective equipment in general industry and construction were adopted along with emphasis
programs, such as primary metals.
Partnerships and Alliances
The ETTA Bureau and the East Compliance Bureau manage the OSH Partnership and Alliance Program.
The purpose of the program is to foster relationships with industry that will leverage OSH resources and
decrease the number of injuries and illnesses in the state. At the end of FY 2011, the division had 13 active
partnerships and alliances. Partnerships included Barnhill Construction Co./Balfour Beatty, Flatiron
Construction Corp./Lane Construction Corp., and Raleigh-Durham Road Builders. Alliances included
Builders Mutual Insurance Co., Carolinas AGC, Forestry Mutual Insurance Co., the N.C. Forestry
Association, N.C. Utility Contractors Association, N.C. Public Safety Divers Association, N.C. State
University—Industrial Extension Service, the Safety and Health Council of North Carolina, Lamar
Advertising Co., and Sampson County Community College. No new partnerships are currently planned for
FY 2012. In FY 2012, the alliance program will focus specifically on OSH special emphasis industries. At
this time, the bureau is pursuing alliances in long term care, food manufacturing and wood products.
Training and Outreach
In FY 2011, ETTA continued providing outreach training to employers and employees across the state of
North Carolina. The bureau offers training through a variety of sources, including the OSH speaker’s
bureau, 10- and 30-hour awareness courses, individual topic workshops at the Charlotte, Raleigh, Winston-
Salem and Asheville Field Offices, and Web training.
ETTA also hosted or participated in 297 courses and events with a total of 7,429 personnel trained. These
included six 10-hour and two 30-hour general industry awareness courses, and seven 10-hour and two 30-
hour construction industry awareness courses. Nearly 100 percent of students who attended the courses
found them to be useful in the workplace. In addition to the larger courses, ETTA offered 106 webinars
that were 90 minutes long and 32 hour-long workshops at the OSH field offices. ETTA staff also provided
and exhibited at 23 safety and health fairs, industrial conferences, and workshops. In addition to ETTA
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N.C. Department of Labor 2011 Annual Report
training numbers, Consultative Services Bureau and Compliance Bureaus trained another 3,374 employ-ers/
employees, for a total of 10,803 workers trained during FY 2011.
In an effort to ensure adequate focus on the OSH Division’s special emphasis programs, the division con-tinued
to provide training to workers in special emphasis groups including construction, logging, arbori-culture,
food manufacturing, wood products, long term care, health hazards and public sector. A total of
6,031 employees and employers covered by the OSH special emphasis programs were trained in the divi-sion’s
outreach programs.
In FY 2011, four construction industry 30-hour awareness courses, nine construction industry 10-hour
awareness courses and three general industry 10-hour awareness courses were offered through the OSH
Train the Trainer Program. A total of 166 students were trained by NCDOL OSH authorized trainers. ETTA
will offer the second round of Train the Trainer Program courses to employers and employees in OSH spe-cial
emphasis programs in August and September 2012. Through the program, individuals who complete
a one-week trainer course are authorized to teach OSH 10-Hour and 30-Hour courses in construction or
general industry.
The training calendar continues to expand and provides the public with an invaluable training resource. For
the first time in ETTA’s history, an annual training schedule is available to the public on the NCDOL web-site.
ETTA sent out more than 73,000 newsletter emails during the fiscal year to inform employers and
employees of upcoming courses. The calendar allows for online registration and outlines upcoming course
offerings, special events, safety schools and conferences.
ETTA produced and currently provides a resource CD that includes all ETTA publications, OSHA stan-dards
including state-specific standards, PowerPoint presentations, and the training course catalog. The
resources on the CD can be downloaded from the Internet onto a PC desktop in a CD ready format that can
be used directly from the desktop or burned onto a CD for portability.
Planning, Statistics and Information Management Bureau
The Planning, Statistics and Information Management (PSIM) Bureau responds to statistical data requests
and requests for the release of OSH Division investigative file documents. PSIM also gathers and analyzes
injury and illness data by conducting two annual surveys, the Public Sector Survey and the OSHA Data
Initiative Survey. Data are also gathered and analyzed to publish the OSH Division’s Annual Program
Statistics Report. The bureau archives all OSH Compliance investigative files. The PSIM Bureau maintains
the OSH Division’s private and public sector employer databases, the inspection targeting system, and
statistical data related to workplace fatalities, all in support of the OSH Division’s Strategic Plan. During
FY 2011, the PSIM Bureau was not fully staffed but managed to continue to provide excellent service to
its customers.
• Completed the Public Sector Survey (collection of calendar year 2010 injury and illness data) of
3,157 employers with a 99.9 percent response rate and a 100 percent clean rate. A total of six non -
responders were referred to the Compliance Bureau. As of the end of FY 2011, all but four of these
surveys have been collected.
• Completed an analysis of data collected from the 2007, 2008, and 2009 Public Sector Surveys, resulting
in updated, established target rates for employer specific categories.
• PSIM bureau chief continued to perform duties associated with the responsibility of being the medical
records coordinator for the OSH Division.
• Worked in conjunction with ETTA Bureau, Compliance Bureau and Legal Affairs Division staff to
update and revise several Field Operation Manual chapters. PSIM Staff also updated OPN 124 and
OPN 128. Updated APN 19 for FY 2012.
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Occupational Safety and Health Division
• Analyzed public sector inspection activities for FY 2006–2010.
• Analyzed private sector site specific inspection activities for FY 2006–2010.
• Analyzed construction inspection activities for FY 2010.
• Completed FY 2010 Occupational Fatalities Comparison Report (OFIR Report Analysis). See Figure 9.
Figure 9
Fatalities Included in the Occupational Fatality Investigation Review, 2007 Through 2011
• Analyzed and verified CY 2010 fatality data for Communications Division’s annual press release.
• Continued refinement of the OSH private and public sector databases to supplement our exclusive use
of the Employment Security Commission database.
• Received, researched and processed 1,320 requests for revisions/changes to the private and public
sector databases, which helps to enhance the accuracy of these site databases and the OSH Division
Targeting System.
• Various targeting schedules were updated and assignments released:
• SST schedule
• Public sector schedule
• General industry schedules (safety and health)
• ASH schedule
• Health hazards schedules (asbestos, lead, and isocyanates)
• Fatality reinspection schedule
• Communication tower schedule
• NEP recordkeeping schedule – added primary metal industries
• NAICS 321 (wood products) schedule
• Diacetyl schedule
• Revised the lead, asbestos and isocyanates/health hazards targeting schedules. Redesigned the gener-al
industry health hazards targeting schedules in order to increase the number of health hazard SEP
inspections.
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N.C. Department of Labor 2011 Annual Report
• PSIM staff members continued as active Strategic Management Plan (SMP) Committee members and
participated in all SMP meetings, discussions, and activities, which were essential functions directly
related to the success of OSH Strategic Plan goals.
• Collection of ODI data for calendar year 2010 officially concluded in October 2011 with a 100 per-cent
response rate and a 100 percent clean rate. Three survey mailings and over 900 phone calls were
made to 3,117 survey participants resulting in only 12 nonresponders, which were referred to the
Compliance Bureau.
• Compilation and analysis of OSH data were completed for the OSH Annual Program Statistics Report
(FY 2009–2010).
• Organization, coordination and management of a large project contracted with an outside vendor to
convert all OSH inspection files from 1973 through 1996 currently stored on microfiche and micro-film
and closed inspection files through FY 2007 to imaged documents and to upload those files into
our current document management system.
• The project of quality control review is continuing and ongoing for OSH inspection files that have
been archived through the imaging process.
• Received 641 disclosure requests in FY 2011 and processed 587 requests (458 from FY 2011 and 129
from previous years) during this fiscal year, which resulted in a 94 percent response rate.
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Administration Division
Statistical Highlights for 2011
Budget and Management Division
• The annual budget for FY 2011 was $33,397,424; revenue: $16,554,745; appropriations: $16,842,679.
Communications Division
• Released 79 news releases and media advisories.
• N.C. Labor Ledger database grew to 13,225 subscribers.
• Publications Bureau produced nearly 2.7 million impressions and processed more than 109,000
pieces of outgoing mail.
• The NCDOL Library’s circulation of audiovisual materials totaled 3,472 items at an average of 289
per month.
Governmental Affairs Division
• Monitored the session of the General Assembly.
Human Resources Division
• 382 employees as of Dec. 31, 2011.
Information Technology Division
• The help desk answered 1,636 calls.
• The department’s website had 1,712,487 hits.
Legal Affairs Division
• The division reviewed all NCDOL rules and regulations and reported results to the Joint Select
Regulatory Reform Committee of the General Assembly.
• The division initiated rulemaking for the Boiler Safety Bureau and the Occupational Safety and
Health Division.
• The division began to research, develop and draft rules to implement E-Verify legislation passed by
the General Assembly.
Research and Policy Division
• Conducted the Survey of Occupational Injuries and Illnesses and the Census of Fatal Occupational
Injuries. The 2010 SOII rate tied the record low number from 2009.
• 597 IDA account holders have saved an aggregate $1,863,999, acquired more than $1,194,000 in match-ing
grant funds, and purchased an estimated $49,295,509 in assets since the beginning of the program.
Administration Division
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N.C. Department of Labor 2011 Annual Report
Budget and Management Division
The Budget and Management Division’s 13 employees are responsible for all fiscal-related areas of the
agency. The division continues initiatives to streamline our operations by creative uses of technology and
more effective uses of our skilled staff. These initiatives have resulted in a 13 percent reduction in divi-sional
management and staff since the beginning of 2008.
Job responsibilities are separated into four categories: budget/accounts payable; purchasing; federal grant
administration; and accounts receivable/collections. Reporting is done on a state fiscal year basis (July 1
through June 30). Table 8 provides data for each fiscal year beginning in FY 2008 and going through the
first half of FY 2012.
Table 8
Budget and Management Division Activities, FY 2008 Through FY 2012
Annual budget $31,212,573 $33,080,501 $33,205,759 $33,397,424 $32,578,991
Revenue $13,920,958 $14,370,689 $15,568,920 $16,554,745 $16,423,188
Appropriations $17,291,615 $18,709,812 $17,636,839 $16,842,679 $16,153,803
Average no. of checks
written/month 489 462 407 397 394
Average monthly expenses $2,558,832 $2,567,270 $2,290,096 $2,367,635 $2,297,840
Percentage of invoices
received/paid within 5 days 99 99 96 98 99
Average number of purchase
orders issued/month 39 44 64 42 56
Monthly average value of
purchase orders issued $55,594 $87,041 $72,833 $113,880 $113,871
Percentage of purchase orders
issued within five days 100 100 100 100 100
Average monthly inspection fees
registrations & penalties collected $684,099 $738,665 $729,125 $889,574 $894,713
Average monthly caseload for
collections 2,195 2,387 2,963 3,582 2,807
Budget/Accounts Payable/Purchasing
For FY 2010-11, the Department of Labor was under an annualized 3.5 percent cut in state allotments.
Department of Labor management had foreseen the probability of these state-mandated allotment reduc-tions
and planned accordingly. A 3 percent expense reduction expectation was put in place on July 1, 2010,
for all Department of Labor divisions and bureaus. Therefore, any resulting negative impacts from Office
of State Budget mandated allotment reductions were effectively minimized. Similarly, Department of
Labor management instituted a 1 percent expense reduction beginning July 1, 2011, for FY 2011-12. For
its part, the Division of Budget and Management continues to meet its internal benchmarks by paying for
and ordering items within five working days from receipt, thereby enabling the department to continue its
efforts to be fiscally responsible and prudent with available resources.
Accounts Receivable/Collections
The Accounts Receivable/Collections Section is responsible for all revenue received by the department.
Two bureaus are fully receipt supported and one bureau is partially receipt supported, which makes it vital
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Administration Division
that all revenues are collected and deposited in a timely and accurate manner. In addition, assessed penal-ties
are collected and distributed to local school systems throughout the state in accordance with state law.
The division took numerous actions throughout the year to increase the effectiveness of collection efforts.
These include:
• The responsiveness of the PayPoint application for our customers allows us to provide immediate
receipts either through e-mail or by fax, which benefits our customers as they no longer have to
depend on personal check copies or bank statements. We continue to phase in bureaus to the PayPoint
option, with the goal of having all 13 of our bureaus having the ability to utilize PayPoint applications.
The tentative “go live” date whereby boiler and pressure vessel payments can be made online is Feb.
10, 2012, and the tentative “go live” date for apprenticeship registration payments is April 1, 2012.
The Budget and Management Division continues to work closely with the NCDOL Information and
Technology Division in developing two major enhancements that will have dramatic positive impacts on
all our workflow processes. These include:
• Replacement of the outdated FileNet system (bids received in late December 2011)
• Replacement of the outdated NCR system for OSH payments (target submission date for request for
proposals is early spring of 2012)
Communications Division
The NCDOL Communications Division provides direct support and assistance in publications work,
library services, and information to the general public and media outlets. Information is handled in a
number of ways—through direct telephone contact with the members of the media and general public,
releases, news letters, brochures, manuals and other publications. The division prepares speeches for
NCDOL personnel, and the division’s publications staff prints workplace safety and other materials the
department provides to the public.
The division edits all materials printed by the Publications Bureau and coordinates the posting of items on
the department’s website. The division released 79 news releases and media advisories, including work-place
fatalities, safety award winners, fair safety updates and other safety training events.
The department’s newsletter, NC Labor Ledger, subscription base grew from 11,914 subscribers at the end
of 2010 to 13,225 at the end of 2011. The division’s print shop provided more than 2.67 million impres-sions
and sent 1,272 electronic items. The print shop staff also processed 109,353 pieces of outgoing mail
in addition to distributing incoming mail for the department’s Raleigh area offices.
Library
The N.C. Department of Labor Library’s collection contains about 12,800 volumes, including 1,400 safety-related
audiovisual items and numerous electronic resources on various labor-related topics. The library
provides a comprehensive program of informational services for NCDOL employees, other state employees,
other libraries, organizations and the general public. Its purpose is to support the mission and goals of the
department to promote the health, safety and general well-being of the 4 million workers in the state. The
library staff of two provides assistance in using the library’s physical and electronic resources.
To fulfill the needs of the agency and the public in 2011, the library staff responded to 2,388 telephone, fax
and email requests, 440 reference questions, and registered 221 new audiovisual patrons. The audiovisual
circulation totaled 3,472 audiovisual items (including 374 renewals) at an average of 289 per month. (See
Table 9.) Circulation peaked in January, when 395 audiovisual items (including 25 renewals) were loaned
out. Demand remained substantial in spite of the recession’s impact on the business community.
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N.C. Department of Labor 2011 Annual Report
Table 9
Library Statistics, 2010 and 2011
Audiovisual Loans 3,472 289 3,843
Phone, E-mail and Fax
Inquiries/Requests 2,388 199 2,555
Reference Questions 440 37 529
Walk-in patrons 711 59 786
The library acquired 62 new audiovisual volumes this year (most of them also in Spanish), in addition to
44 non-audiovisual volumes (i.e., books, standards, CD-ROMs). In addition to circulating a large volume
of audiovisual and print material, as well as fulfilling the informational needs of its patrons, the library also
arranged the cataloging of its material. Fifty-three titles were cataloged and added to the library’s collection.
The requests for information covered an interesting array of topics in 2011. Information requests included
laser safety, ammonia refrigeration, ergonomics, rappelling, old North Carolina OSH opinions, North
Carolina building codes, collective bargaining, logging, industrial ventilation, and agricultural tractors.
The library also received requests for standards on fall protection, automotive lifts, ladders, compressed
gases, cranes, brakes, ammonia refrigeration, welding, steel erection, conveyors, low/high lift trucks, first
aid kits, stationary compactors, and other topics.
In December, the library prepared for a reorganization that resulted in its transfer from the Communications
Division to the OSH Education, Training and Technical Assistance Bureau (effective Jan. 1, 2012).
Governmental Affairs Division
The General Assembly convened for the 2011 long session Jan. 26, 2011, and adjourned June 18. The
House and Senate reconvened for several special sessions during the summer and fall to address redistrict-ing,
veto overrides and various additional matters. The Governmental Affairs Division tracked dozens of
bills that directly and indirectly affected NCDOL. Following are selected highlights of legislative issues
relevant to the department.
FY 2011-2012 Budget
HB 200—Appropriations Act of 2011
2011 marked the third straight year of significant budget cuts. The N.C. Department of Labor experienced
a reduction of $1,005,792, or about 6 percent. Four vacant positions were eliminated, and five positions
were shifted to receipt-support. The department secured $350,000 in Workforce Investment Act funds to
support the Apprenticeship and Training Bureau.
• Section 6A.14(a) required that each executive branch agency provide a copy of its mobile electronic
device usage policy to the General Assembly by Sept. 1, 2011. In response, the department adopted
a new policy governing assignment and use of mobile electronic communications devices. This sec-tion
also required agencies to submit quarterly reports regarding the number and cost of mobile
devices.
• Section 12.1 repealed G.S. 95-14.1, which required that the department submit a biennial review of
fees to the General Assembly. The department is already required to submit a similar report to the
Office of State Budget and Management.
This bill was vetoed by the governor, but became law on June 15 when the General Assembly voted to
override the veto.
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Administration Division
New Laws Affecting NCDOL
HB 36—Employers and Local Government Must Use E-Verify
This legislation requires that all private employers that employ more than 25 individuals use the federal
E-Verify system to verify each new employee’s work authorization. Seasonal employees (employed for 90
or fewer days during a 12 consecutive month period) are exempt from the new requirement. Counties and
cities will also be required to use E-Verify for new employees. State agencies are already required to par-ticipate.
E-Verify is an Internet-based system that compares information from an employee’s I-9
(Employment Eligibility Verification) to data from U.S. Department of Homeland Security and Social
Security Administration records to confirm employment eligibility.
Of significance to the department, this legislation requires that the commissioner of labor create a com-plaint
form for a person to allege a violation of the new E-Verify requirements, accept complaints from the
public, and investigate and hold hearings to determine if a violation has occurred. The commissioner is also
required to assess certain penalties if a violation is found. The law becomes effective Oct. 1, 2012, for pri-vate
employers that employ 500 or more workers; Jan. 1, 2013, for employers that employ 100 or more but
less than 500 workers; and July 1, 2013, for employers that employ 25 or more but less than 100 workers.
The department has formed a work group to draft administrative rules, necessary forms, and procedures.
HB 385—2011 Omnibus Labor Law Changes
This legislation makes technical changes to various laws enforced by the N.C. Department of Labor as rec-ommended
by the department’s bureau chiefs. Sections 1–4 make changes to the Uniform Boiler and
Pressure Vessel Act; Sections 5–6 make changes to the Amusement Device Safety Act; Section 7 makes
changes to the Passenger Tramway Safety Act; Section 8 makes changes to the Occupational Safety and
Health Act; and Sections 9–10 make changes to the Retaliatory Employment Discrimination Act. The bill
passed both chambers unanimously.
SB 781—Regulatory Reform Act of 2011
Of the numerous bills filed during the long session addressing agency rulemaking reform and agency final
decision-making authority in contested cases, SB 781 is the bill that emerged as the final product. Details
of the law and its requirements can be found on p. 36 under the Legal Affairs Division.
This bill was vetoed by the governor, but became law when the General Assembly voted to override the veto.
SJR 17—Joint Regulatory Reform Committee
This bill was the result of an initiative by the Governor’s Office and the General Assembly to reduce the
number of administrative rules in order to create a stronger job-creation environment. It establishes the
Joint Regulatory Review Committee, comprised of nine House members and nine Senate members. The
purpose of the committee is to hold public hearings in order to identify outdated, overly burdensome,
vague, and/or unnecessary rules that may be an impediment to job creation. The committee will also review
the rulemaking process and recommend changes. Near the end of the session, this committee submitted
its first comprehensive recommendation via SB 781—Regulatory Reform Act of 2011. SB 781 makes
significant changes to the agency rulemaking process.
SB 166—No Adult Left Behind
This bill directs the Commission on Workforce Development, acting as the lead agency, to work with the
N.C. Department of Labor and other state agencies to initiate the “No Adult Left Behind” Initiative geared
toward achievement of major statewide workforce development goals. The first goal of the initiative is to
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N.C. Department of Labor 2011 Annual Report
increase to 40 percent the number of North Carolinians who earn associates degrees, other two-year
credentials or baccalaureate degrees. The commission and the associated agencies shall submit to the
governor and General Assembly a progress report by May 1, 2012, and annually thereafter.
Bill Introduced That Did Not Become Law but Eligible for 2012 Session
SB 697—Patient Advocacy and Protection Act
The original version of this bill would have significantly amended the Retaliatory Employment
Discrimination Act (REDA) by adding a new section titled “Retaliation against nurses prohibited.” This
section would protect nurses who make a good faith report concerning patient care or who engage in patient
advocacy. It would also give nurses who are injured by a violation of the act the ability to seek damages,
court costs and attorneys’ fees, and it would authorize the commissioner of labor to impose a civil penalty
of up to $25,000, which is substantially different from current REDA provisions. This bill was heard in the
Senate Health Care committee, where it was significantly amended. The revised version of the bill moves
some of the original provisions from REDA to the Nurse Practice Act. However, the bill authorizes a nurse
to file a written complaint with the commissioner of labor, which the department would investigate. This
version removes the original provisions related to damages and civil penalties. This version passed the full
Senate unanimously but saw no action in the House. The bill is eligible for 2012 short session consideration,
and the department will likely seek changes to the language if it progresses.
Bills Introduced That Did Not Become Law and Ineligible for 2012 Session
• Legislation amending the Migrant Housing Act by adding many new housing requirements.
• Legislation modifying the agricultural exemption in the Wage and Hour Act.
• Legislation adding a new article to Chapter 95 that would clarify the distinction between employees
and independent contractors
• Legislation amending the Wage and Hour Act pertaining to the recovery of unpaid wages.
• Legislation allowing for a wider exemption from the general industry OSH standards for agricultural
operations.
• Legislation adding a REDA protection for employees caring for extended family members.
• Legislation requiring that employers provide paid sick time.
Human Resources Division
The Human Resources Division supports the department through the administration and management of
workplace services and the personnel policies and procedures established by the State Personnel Act (N.C.
Gen. Stat. § 126). Human Resources chronicled new hires, separations from services, promotions within
the department, job postings, applications received, and total personnel actions processed. In addition the
two part-time receptionists in the Labor Building assisted the department by responding to 10,799 phone
calls in 2011.
Working with a third party administrator, Human Resources administers the department’s workers’ com-pensation
program. There were 24 injury/illness reported claims during 2011. Of these, two qualified as
OSHA recordable injuries. Table 10 provides a comparison of HR activity in calendar years 2008 through
2011.
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Administration Division
Table 10
Human Resources Activities, Calendar Years 2008 Through 2011
New Hires 20 14 27 19
Separations 33 20 37 27
Promotions 25 12 12 8
Job Applications Received 2,416 1,035 2,453 1,327
Personnel Actions Processed 273 102 133 149
Total Positions on 12/31 434 419 411 409
Total Employees on 12/31* 407 398 387 382
*includes part-time employees
sharing one position 6 6 6 6
Positions Posted for the Year** 66 36 51 50
**internal, external and repostings
Average Employee’s Age 49 49 50 51
Average Employee Service Months 159 148 151 160
Information Technology Division
The Information Technology Division provides the N.C. Department of Labor with information technology
services for the analysis, design, engineering, and acquisition of all hardware and software, while providing
daily service and support through installation, operation and maintenance of computers, servers, printers,
local area networks and wide area networks. The division provides database design and administration support
to application software, server operating systems software, and hardware. It also supports a federal-level
information system (Integrated Management Information System (IMIS)), which is used by the
Occupational Safety and Health Division.
PC Support Section
The PC Support Section began the project of converting its file server from the Novell operating system to
Microsoft Active Directory. This conversion is a statewide initiative; DOL is well on its way with this proj-ect.
The project, which will be completed in 2012, not only will replace the file server but will also serve
as the authentication scheme for the upcoming replacement of the current Document Management System.
A new anti-virus product was installed department-wide. PC Support began converting our desktop base
operating system to Windows 7, and this will continue through 2012 as new PCs and laptops are ordered.
NCDOL web content continued to grow, with additional content added to the department’s website.
Additional PC Support Section accomplishments in 2011 included:
• Completion of 1,636 help desk calls
• Response to 1,820 phone calls for assistance
• Completion of 105 in-house repairs of PCs, laptops and printers
• Data line upgrade at Lake Boone Trail to accommodate increased network traffic
• Provision of assistance to PSIM Bureau with data scanning project for input of data into FileNet
Applications Services Section
The Applications Services staff continued an initiative to develop more effective methods of creating and
supporting software systems, including engaging outside companies to provide on-demand development
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N.C. Department of Labor 2011 Annual Report
support; investing in business analysis and XML courses; and implementing version control software. Our
focus is to maximize the use of limited resources through collaboration and innovative use of promising
methodologies and technology.
Additional Applications Services Section accomplishments in 2011 included:
• Issued a request for proposals (RFP) to replace the obsolete FileNet enterprise content management
system.
• Developed a governance review board process to approve and prioritize software systems develop-ment
throughout the department.
• Supported an OSH business analysis effort for a transition from the federal Integrated Management
Information System (IMIS).
• Readied the Apprenticeship Bureau’s Web application for deployment in the first quarter of 2012.
• Participated in an initiative led by the Office of the State Controller (OSC) to automate inspections,
with the Elevator Bureau being selected as a primary pilot project in this effort.
• Deployed Oracle 11g to replace existing Oracle 8 and 9 installations, including new Oracle develop-ment
and document assembly software.
• Implemented the OSH closed file tracking system.
• Implemented OSH penalty receivables, penalty payments and balances modules.
• Generated the required OSH inspection targeting lists.
• Updated 400 intranet pages.
• Created the employee recognition microsite.
• Created an ASH intranet microsite.
• Updated the Boiler Safety used vessel permission module for greater ease of use.
• Initiated consolidation of two internal web servers into one, including an upgrade from ColdFusion 7
to 9.
• Supported the deployment of a new DMZ server by installing ColdFusion 9 running on Apache Web
server.
Legal Affairs Division
The Legal Affairs Division of the Department of Labor advises the commissioner and the department as a
whole on a wide variety of legal issues. The division monitors all legal issues related to the department.
This includes: reviewing and referring cases in need of litigation to the Attorney General’s Office; advis-ing
the commissioner and the department when policy developments involve legal issues; conducting legal
reviews of policies and procedures; conducting conciliations for NCDOL’s Employment Discrimination
Bureau; fielding a wide variety of constituent questions/issues; serving as liaison between the Safety and
Health Review Commission and the department for the purpose of distributing documents, maintaining and
reporting compliance officer availabilities and hearing schedules; maintaining a comprehensive database and
auditing employee compliance with the NCDOL State Vehicle Use Policy; housing the position of chief
records retention officer for the department; and conducting all rulemaking activities for the department.
Wage and Hour Judgments/Settlement Disbursements
Since 2009, the Legal Affairs Division has been assisting the Attorney General’s Office in collecting out-standing
wage and hour judgments. All outstanding judgments are in different stages of the collection
process as the division continues to actively pursue collection of these wages for the employees to whom
they are owed.
36
Administration Division
The division has worked actively with employers to collect monthly payments after the employer defaults
on a settlement agreement entered into with the department to pay back wages plus interest to one or more
employees. In 2011, LAD action on these outstanding settlement agreements resulted in gross collections/
disbursements of $19,333.33 to one employee; $4,480.73 in gross collections/disbursements to six employees;
and $13,107.67 in gross collections/disbursements to one employee.
The Legal Affairs Division also worked with Barber Scotia College and its accountant to re-evaluate the
settlement agreement relating to wages that are owed to 46 current and former employees of the college.
Payments totaling $36,000 were received during 2011 and were disbursed amongst the employees at the
end of each quarter. These payments and disbursements will continue quarterly until paid in full.
Total outstanding wage collections by the division in 2011 totaled $72,921.73.
Division/Departmental Policies and Procedures
In 2011, the Legal Affairs Division began collaborating with both the Boiler Safety Bureau and the
Elevator and Amusement Device Bureau to review and revise certain policies, practices and procedures.
These revisions are an effort to streamline inspection procedures, maximize the effectiveness of penalty
assessment and collections, and conserve time for field and office staff alike through a variety of revised
measures. Work on revising policies and procedures will continue into 2012.
Additionally, the Legal Affairs Division provides continuous support to the entire department by providing
such things as administration assistance, interpretations, guidance/assistance on specific matters/issues,
and enforcement/investigation of policy and procedure violations.
Senate Bill No. 781
Senate Bill 781 became law on July 25, 2011. Section 57 of SB 781 ordered every state agency, board,
commission or other body with rule-making powers to deliver a list of all permanent rules adopted by the
body to the Joint Select Regulatory Reform Committee of the General Assembly by Oct. 1, 2011. The list
was required to set forth the following information for each individual agency rule: (1) Whether the rule is
mandated by a federal law or regulation; (2) If the rule is not mandated by a federal law or regulation,
whether there is a federal regulation that is analogous to the rule; and (3) If there is a federal statute or
regulation analogous to the rule, whether the rule is more stringent than the federal law or regulation.
The Legal Affairs Division, with the assistance of ETTA and ASH in the evaluation of safety and health
rules, reviewed each departmental rule in accordance with the requirements of SB 781. A complete detailed
report was submitted to the Joint Select Regulatory Reform Committee of the General Assembly prior to
the deadline.
SB 781 also made extensive changes to Chapter 150B, the Administrative Procedures Act. These changes
have a significant impact on the rulemaking process and have placed numerous additional requirements on
the division relating to the department’s administrative rules. One such requirement is the implementation
of the Rules Modification and Improvement Program as required by N.C. Gen. Stat. § 150B-19.2. This new
program requires agencies to conduct an annual review and submit a report to the Office of State Budget
and Management (OSBM) each year of all existing rules to ensure that they are not unnecessary, unduly
burdensome or inconsistent with the principles set forth in N.C. Gen. Stat. § 150B-19.1. Additionally,
OSBM will be accepting comments from the public relating to agency rules and agencies must review the
public comments and prepare a report on whether any of the recommendations contained in the comments
have potential merit or justify further action. The Legal Affairs Division has reviewed the public comments
received through OSBM, prepared the required response and filed the appropriate report with OSBM prior
to the deadline of Jan. 31, 2012. The division has finalized the first annual review of all departmental rules
in compliance with N.C. Gen. Stat. § 150B-19.1 and has submitted the required report to OSBM.
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N.C. Department of Labor 2011 Annual Report
Occupational Safety and Health—Variances
In accordance with N.C. Gen. Stat. § 95-132, employers may apply to the commissioner for a temporary,
permanent or experimental variance from a promulgated Occupational Safety and Health Standard. The
Legal Affairs Division works with the Education, Training and Technical Assistance (ETTA) Bureau to
review variance applications and to ensure compliance with the N.C. General Statutes, N.C. Administrative
Code and the Code of Federal Regulations. The division also prepares and files the paperwork necessary
to process a variance request in accordance with Title 13, Chapter 07A, Section .0700 of the N.C.
Administrative Code. After many years of working closely with ETTA, on Aug. 23, 2011, DSM Dyneema
LLC filed an application for a permanent variance with the commissioner. If granted, the variance will
allow DSM Dyneema LLC to use an alternative supplied air respirator system (alt. SAR system) for entry
into and escape from certain immediately dangerous to life and health (IDLH) atmospheres. Unless the
variance is granted, the usage of the alt. SAR system would be prohibited by OSH general industry stan-dards.
The notice of filing of an application for permanent variance from occupational safety and health
standards was filed with the Office of Administrative Hearings on Dec. 8, 2011, and was published in the
Jan. 3, 2012, North Carolina Register. The variance request will remain active as additional procedures are
followed and information is gathered by ETTA during 2012.
Rulemaking
Boiler Safety Bureau
Various Amendments/Adoptions (13 NCAC 13 .0101; 13 NCAC 13 .0103; 13 NCAC 13 .0202; 13
NCAC 13 .0203; 13 NCAC 13 .0204; 13 NCAC 13 .0208; 13 NCAC 13 .0209; 13 NCAC 13 .0211; 13
NCAC 13 .0212; 13 NCAC 13 .0301; 13 NCAC 13 .0401; 13 NCAC 13 .0404; 13 NCAC 13 .0406; 13
NCAC 13 .0408; 13 NCAC 13 .0409; 13 NCAC 13 .0410; 13 NCAC 13 .0411; 13 NCAC 13 .0412)
Pursuant to N.C. Gen. Stat. § 95-69.14, the commissioner of labor may, after consultation with the Board of
Boiler and Pressure Vessels Rules, adopt, modify or revoke any rules and regulations governing the con-struction,
installation, repair, alteration, inspection, use and operation of boilers and pressure vessels as the
commissioner deems appropriate to ensure the safe operation and avoidance of injury to person or property
from boilers and pressure vessels. The Board of Boiler and Pressure Vessels Rules met on June 10, 2010,
and proposed certain changes to Title 13, Chapter 13 of the N.C. Administrative Code. In addition to ensuring
the safety of citizens in North Carolina, the referenced modifications and adoptions were necessary to ensure
that the administrative rules governing boiler and pressure vessels in North Carolina conform as nearly as
possible to the standards of the National Board Inspection Code, the American Society of Mechanical
Engineers, and the amendments and interpretations of those engineering standards. The proposed amendments/
adoptions were published in the North Carolina Register on March 15, 2011, and all became effective on
July 1, 2011, with the exception of 13 NCAC 13 .0211, which became effective on Aug. 1, 2011.
General Agency Rules
E-Verify Rules (Title 13, Chapter 12, Section .0900)
House Bill 36 became law on June 23, 2011. HB 36/SL 2011-263 is an act that requires counties, cities,
and employers with 25 or more employees to use the federal E-Verify Program to verify the work author-ization
of newly hired employees. SL 2011-263 amended Chapter 64 of the General Statutes by adding
Chapter 64, Article 2—Verification of Work Authorization. This amendment charged the commissioner of
the labor with investigating complaints for alleged violations of the E-Verify law by certain private
employers. NCDOL will only investigate whether an employer used E-Verify to determine work authorization
status of new hires. The act becomes effective, and thus enforcement by NCDOL will be implemented, in
stages as follows:
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Administration Division
• Effective Oct. 1, 2012—employers with 500 or more employees will be required to use E-Verify to
check work authorization for all new hires;
• Effective Jan. 1, 2013—employers with 100 or more employees will be required to use E-Verify to
check work authorization for all new hires
• Effective July 1, 2013—employers with 25 or more employees will be required to use E-Verify to
check work authorization for all new hires.
NCDOL will not accept any complaints until the first effective date of Oct. 1, 2012. Between Oct. 1, 2012,
and Dec. 31, 2012, complaints will only be accepted against employers with 500 or more employees.
NCDOL does not have any jurisdiction with regards to E-Verify over state/local government agencies nor
municipalities and will not be able to accept complaints against these entities. Also, temporary seasonal
workers who work fewer than 90 days within a consecutive 12-month period and employers with 24 or less
employees are exempt and are not required to comply with E-Verify laws.
The N.C. Department of Labor’s Governmental Affairs Division did a significant amount of research into this
matter, and the department subsequently formed an E-Verify Committee. The Legal Affairs Division is in the
process of researching, developing and drafting substantive administrative rules needed to implement the act.
Additionally, members of division are serving on the E-Verify Committee to develop the necessary forms and
procedures to incorporate this added responsibility into NCDOL. It is anticipated that these rules will be in
effect on Oct. 1, 2012, which is the first date the act becomes effective and enforceable in North Carolina.
Occupational Safety and Health
Crane and Derrick Rules (13 NCAC 07F .0901–.0927)
Beginning in 2008 and continuing through early 2011, the Legal Affairs Division was involved in the
department’s proactive approach toward protecting those in North Carolina who operate and work around
cranes. As a result, new state-specific rules for cranes and derricks were adopted that mirrored, with some
exceptions, the federal consensus document submitted to federal OSHA that the Cranes and Derricks
Negotiated Rulemaking Committee (C-DAC) had been working on since 1998. 13 NCAC 07F
.0902–.0927 became effective Oct. 1, 2009. However, due to receiving numerous objections to 13 NCAC
07F .0901 (Scope), it was withdrawn from consideration by the Rules Review Commission while the
department worked with industry to come to a mutually agreeable rule. After much discussion, 13 NCAC
07F .0901 was refiled with the Rules Review Commission for consideration on June 23, 2010, and became
effective Sept. 1, 2010.
Meanwhile, as was published in the Aug. 9, 2010, Federal Register, the U.S. Department of Labor revised
its Cranes and Derricks in Construction Standard along with related sections of the construction standards
(29 CFR 1926) to update and specify industry work practices necessary to protect employees. These
federal standards became effective Nov. 8, 2010. Since North Carolina is a state plan state that must remain
at least as effective as the U.S. Department of Labor, the N.C. Department of Labor filed proposed tempo-rary
repeals of 13 NCAC 07F .0901–.0927, which became effective Nov. 8, 2010, along with a verbatim
adoption of the federal standards to avoid any overlap or confusion between the state-specific and federal
rules. Permanent repeals were filed simultaneously with the temporary rules/verbatim adoption and were
published in the Oct. 1, 2010, North Carolina Register. The permanent repeals were heard before the Rules
Review Commission on Jan. 20, 2011, and became effective on Feb. 1, 2011.
General Industry (13 NCAC 07F .0101), Construction (13 NCAC 07F .0201), Agriculture (13 NCAC
07F .0301, Shipyard Employment (13 NCAC 07F .0501), and Marine Terminals (13 NCAC 07F .0502)
The division was also involved in verbatim adoptions of changes to Title 29 of the Code of Federal
Regulations promulgated by federal OSHA, including changes to Part 1910—General Industry, Part
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N.C. Department of Labor 2011 Annual Report
1915—Shipyard Employment, Part 1917 – Marine Terminals, Part 1926—Construction, and Part 1928—
Occupational Safety and Health Standards for Agriculture.
29 CFR 1902.2(a) and N.C. Gen. Stat. § 95-131(a) require verbatim adoptions such as these in order for
North Carolina’s occupational safety and health program to be as effective as the federal program and to
maintain North Carolina’s state plan status under the federal Occupational Safety and Health Act of 1970.
The amended rules were adopted pursuant to N.C. Gen. Stat. § 150B and all were effective in North Carolina
on Oct. 31, 2011. The following are summaries of the topics covered by the 2011 verbatim adoptions:
General Working Conditions in Shipyard Employment (76 FR 24576–24711, May 2, 2011): The federal
Occupational Safety and Health Administration (OSHA) revised its standards on general working conditions
in shipyard employment. These revisions updated existing requirements to reflect advances in industry
practices and technology, consolidate some general safety and health requirements into a single subpart,
and provide protection from hazards not addressed by existing standards, including the control of
hazardous energy. Federal OSHA’s final rule was effective Aug. 1, 2011, except for the provisions of 29
CFR 1915.89, which became effective and enforceable on Oct. 31, 2011.
General Working Conditions in Shipyard Employment; Correction (76 FR 44265, July 25, 2011): OSHA
made corrections to the final rule described above, effective Aug. 1, 2011. Specifically, language contained
in 29 CFR 1910.145(a)(1) and 29 CFR 1910.147(a)(1)(i) was corrected.
Standards Improvement Project—Phase III (76 FR 33590-33612, June 8, 2011): Phase III of the
Standards Improvement Project (SIP-III) was the third in a series of rulemaking actions to improve and
streamline OSHA standards. The Standards Improvement Project removed or revised individual require-ments
within rules that were confusing, outdated, duplicative, or inconsistent. OSHA identified several
requirements for SIP-III (e.g., rigging, NIOSH records and training certifications) for improvement based
on the agency’s review of its standards, suggestions and comments from the public, or recommendations
from the federal Office of Management and Budget (OMB). OSHA believes that improving these standards
will help employers to better understand their obligations, promote safety and health for employees, lead
to increased compliance, and reduce compliance costs.
Research and Policy Division
The Research and Policy Division’s primary responsibility is collecting information and data for use by the
commissioner of labor. The division develops and implements special programs and projects. The division
also provides staff support to the commissioner and other divisions within the department and helps to
establish and revise policy guidelines. The Individual Development Accounts Program provides assistance
to low-income individuals toward attaining self-sufficiency through homeownership, microenterprise, or
education and training.
Safety and Health Survey Section
The Safety and Health Survey Section of the division collects, reviews, refines and publishes the Survey
of Occupational Injuries and Illnesses (SOII) data for certification to the U.S. Bureau of Labor Statistics.
The data—used by both state and federal departments of labor—provide an accurate measurement of the
work-related injury and illness rates, and demographic and case characteristics data on employees in North
Carolina. The state incidence rate for injuries and illnesses in the private sector was 3.1 for every 100 full-time
employees in 2010, which tied the record low set in 2009 and was below the national average of 3.5.
(See Figure 10.)
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Administration Division
Figure 10
Occupational Injury and Illness Rate for North Carolina,
Private Sector, Calendar Years 2000 Through 2010
The section also codes, analyzes and publishes statistical data on occupational fatalities in the state to build
the BLS-sponsored Census of Fatal Occupational Injuries (CFOI). The information is obtained from
employers, death certificates, medical examiner reports and other sources. Fatality and injury and illness
information enables NCDOL to better understand how and where accidents are occurring. The figures also
are used to assist those industries with high rates of injuries and fatalities to target safety and health edu-cation
and training where needed. Bureau of Labor Statistics figures (from the Census of Fatal
Occupational Injuries) show that North Carolina suffered 134 workplace deaths in 2010. (See Figure 11.)
Figure 11
Census of Fatal Occupational Injuries Data, Calendar Years 2000 Through 2010
Source: U.S. Bureau of Labor Statistics
Individual Development Accounts Program
The Individual Development Accounts, or IDA, Program is designed to help low-wealth individuals build
financial assets through the startup of new businesses, post-secondary educational investments or the pur-chase
of a home. The program’s use of matched savings accounts, financial literacy training, credit coun-seling
and coaching provides assistance to low-income individuals seeking to attain self-sufficiency.
The Department of Labor continues to play a major role in the IDA movement. The division works in part-nership
with the IDA and Asset Building Collaborative of North Carolina, the N.C. Division of Community
Development, the N.C. Housing Finance Agency, the N.C. Cooperative Extension Service, and EITC
Carolinas to support and increase the number of IDA programs. The NCDOL IDA Program is also a par-ticipant
in the North Carolina Assets Alliance. The alliance educates the public and policymakers about
asset-based strategies that promote economic security and prosperity for all North Carolinians.
The NCDOL IDA Program continues to host training for IDA program sites throughout the state, bringing
in outside speakers as well as involving members of local program staff who are knowledgeable in various
aspects of the program. The training focuses on IDA implementation, best practices, effective outreach and
other critical aspects of program development. This training provides valuable information and serves as a
support network for everyone involved.
According to year-end statistics for 2011, the NCDOL IDA Program consists of 23 sites that serve 46 counties.
Total Graduates From NCDOL IDA Programs
By the end of 2011, a cumulative total of 597 participants had graduated from the IDA Program in home-ownership,
micro-enterprise or post-secondary education. These graduates purchased 527 homes, started
37 businesses and made 33 educational investments. From 1999 through 2011, IDA account holders saved
an aggregate $1,863,999, acquired more than $1,194,000 in matching grant funds, and purchased an esti-mated
$49,295,509 in assets.
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N.C. Department of Labor 2011 Annual Report
42
Notes
Notes
Fiscal years are designated by the year they end. The state fiscal year begins July 1 and ends June 30. State
Fiscal Year 2010 thus began July 1, 2009, and ended June 30, 2010. The federal fiscal year begins Oct. 1
and ends Sept. 30. Federal Fiscal Year 2010 thus began Oct. 1, 2009, and ended Sept. 30, 2010.
All of the bureaus of the Standards and Inspections Division report data based on the state fiscal year. Most
of the bureaus of the Occupational Safety and Health Division report data based on the federal fiscal year.
The Agricultural Safety and Health Bureau is the exception. It uses the calendar year as the basis for report-ing
its data.
Within the Administration Division, the Budget and Management Division uses the state fiscal year for
reporting its data, while the remaining divisions report data on a calendar year basis.
Reporting Years for NCDOL Divisions and Bureaus
Calendar Year (Jan. 1 through Dec. 31)
Agricultural Safety and Health Bureau
Communications Division, including Publications Bureau and Library
Governmental Affairs Division
Human Resources Division
Information Technology Division
Legal Affairs Division
Research and Policy Division
State Fiscal Year (July 1 through June 30)
Apprenticeship and Training Bureau
Boiler Safety Bureau
Budget and Management Division
Elevator and Amusement Device Bureau
Employment Discrimination Bureau
Mine and Quarry Bureau
Wage and Hour Bureau
Federal Fiscal Year (Oct. 1 through Sept. 30)
Compliance Bureau
Consultative Services Bureau
Education, Training and Technical Assistance Bureau
Planning, Statistics and Information Management Bureau